,
9 tweets,
4 min read
Read on Twitter
1/ JPMorgan Chase has announced JPM Coin, a JPM backed "cryptocurrency" which can be considered a big step in mainstream recognition of the potential of distributed ledger (blockchain) technologies
jpmorgan.com/global/news/di…
jpmorgan.com/global/news/di…
2/ JPM Coin is a stablecoin: i.e. its value is pegged to the US$. JPM guarantees that you can redeem 1 JPM Coin for 1US$
Over time, support for other major currencies will be added
Over time, support for other major currencies will be added
3/ It is implemented on a "permissioned" blockchain. It is implemented using Quorum, an open source from JPM that implements a permissioned blockchain (i.e. controlled by a few institutions) on top of Ethereum
jpmorgan.com/global/Quorum
jpmorgan.com/global/Quorum
4/ JPM Coin is being slammed from multiple sides. The pure public cryptocurrency folks feel that a "permissioned" cryptocurrency misses the entire point of a cryptocurrency.
The anti-blockchain folks feel that this has nothing that can't be done with SQL.
The anti-blockchain folks feel that this has nothing that can't be done with SQL.
5/ JPM Coin's supposed benefit is to simplify instantaneous cross-border payments for its institutional customers.
(I know what exactly are the legacy/regulatory/other issues that prevent existing tech from implementing this; but I assume there must be some serious problems.)
(I know what exactly are the legacy/regulatory/other issues that prevent existing tech from implementing this; but I assume there must be some serious problems.)
6/ This FT article does a good join of listing various reasons JPM has provided for why they are piloting JPM Coin ft.com/content/0bafd9…
7/ Here's a video (and a text thread) giving a balanced view of the pros and cons of this development
8/ And here's a great thread pointing out all the non-obvious ways in which this experiment is good for the blockchain/distributed ledger technology ecosystem in general, and adoption of some of this technology in solving complex enterprise problems
I'm not enough of an expert on enterprise fintech. Hopefully, people like @dnene @finkrishna @RajeevInnoviti @rni @tanvi_ratna will have some comments, especially on tweet #8 and the non-obvious benefits, if any?
