Public Loves A Good Surprise? But, why so Gimmick-y JP Morgan?
Who knew JPMorgan would develop a sweet spot for cryptos after all? What can we say cryptos are an acquired taste after all! In 2017, JPMorgan CEO Jamie Dimon said bitcoin was a “fraud.” Now this JPMorgan J coin is a big pivot for even the biggest bank of banks.
A Big Tall Statement of the Biggest Bank To Banks?
JPM loves to hit the headlines. It has had its good days and even when others of its kind were having particularly bad ones. Back in 2008, the financial markets crashed and JPM still remained well grounded. The bank cashed in on its stability, as the government propped it (and other banks) up with taxpayer dollars and held its hand through arrangements to eat up Washington Mutual and Bear Stearns. Today it is not only the biggest bank to banks in the U.S. but also the biggest in terms of its assets.
JPM moves more than $6 trillion around the world every day for corporations in its massive wholesale payments business.
First Mover advantage
For the biggest bank to make a move on cryptos is a big tall statement and the world should be scared. The biggest US bank by assets says the digital currency will represent one-for-one dollars held in designated accounts at JPM and will be used to make instantaneous payments.
This is because the coin will not be usable by the public but through KYC (Know your customer), the bank will have an imperative advantage over the other followers and it has sent a high bar for innovation and welcoming new tech in an unafraid manner and moving away from its hardcore stance over time, as things turned out to be suitable for itself and the industry.
Slow and steady wins the race perhaps.
JPM has a White hatted agenda?
Plans for world domination, much? Well, as the world fails to address the problems of crime, illegal activity and the access to evil in the bad world, and continuously condemns every technology for furthering the subjective evils like drugs, pornography, prostitution and money laundering, the JPM coin will change things.
The New York-based lender says the system is designed for institutional clients and it doesn’t have plans to make the JPM Coin available to consumers. It will be quick and instantaneous and much more effective for international payments and the clients that have a taste for such a thing.
But, its a fiat based crypto taken, and that means that the true spirit of bitcoin is not matched here. Secondly, and more importantly, banks backing up cryptos takes away from the original values of bitcoin that of decentralization and freedom from the dominion of banks. Will this domino centipede collapse? Perhaps, we will see.