- JPMorgan launched the JPM Coin, a live blockchain application designed to offer an alternative payment rail running on distributed ledger technology, in 2019.
- JPM Coin is part of JPMorgan’s blockchain platform, Onyx Coin Systems.
- Germany’s industrial conglomerate Siemens AG became the first company to process euro-denominated payments on the blockchain using JPM Coin.
According to a Bloomberg report, JPMorgan has enabled euro-denominated payments for corporate clients on its blockchain-based payment system, JPM Coin.
The announcement follows a separate regulatory matter in which JPMorgan Chase was fined $4 million by the U.S. Securities and Exchange Commission for the accidental deletion of 47 million emails dated between January 1 and April 23, 2018. Those emails were reportedly deleted in June 2019. Under U.S. securities rules, financial firms — including banks — are required to retain business records for at least three years.
Basak Toprak, head of Coin Systems for Europe, the Middle East, and Africa at JPMorgan, said JPM Coin began accepting euro transactions on June 21. Toprak noted that the platform’s first euro payment was processed for Siemens AG.
JPM Coin
JPM Coin was introduced as a live application in 2019 and later incorporated into JPMorgan’s Onyx Coin Systems. It functions as a digital token on the Onyx blockchain and is intended for institutional use.
To date, JPM Coin has processed transactions totaling more than $300 billion, making it one of the most actively used blockchain implementations by a traditional financial institution.
The token allows JPMorgan’s institutional clients to execute wholesale payments between accounts globally, using blockchain technology as the underlying rail. This approach streamlines settlement and can reduce the friction and latency associated with conventional payment networks.
Onyx Coin Systems
Onyx Coin Systems was launched by JPMorgan to modernize and enhance the efficiency of wholesale payment flows. The platform focuses on secure, high-throughput settlement for institutional transactions.
By April 2023, Onyx had facilitated nearly $700 billion in short-term loan transactions, reflecting its growing adoption for large-scale institutional operations.