JPMorgan Chase, the largest U.S. bank, is broadening access to its JPM Coin among institutional investors. The bank announced that it will bring its year-old cryptocurrency token to the Ethereum network, expanding beyond its current availability on Base, a Layer-2 blockchain operated by Coinbase Global. JPMorgan cited Ethereum's higher liquidity and widespread use among institutional investors as key reasons for the move.
JPM Coin represents dollar deposits at the bank and is used for blockchain payments, trade settlements, and backing tokenized assets. The tokenization process converts real-world and financial assets into digital forms recorded on blockchain networks like Ethereum. JPMorgan's private blockchain network, Kinexys, already handles over $7 billion in daily payments.
JPMorgan and a group of other banks have also announced plans to launch a shared network for tokenized deposits in the U.S. The bank's stock has risen 12% over the last year, trading at $337.97 per share. The exact timeline for JPM Coin's availability on Ethereum remains unclear.