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We come reported that JP Morgan Chase has launched its own cryptocurrency based on the same structure as a stablecoin. The bank has confirmed in its official ad this,
"JPM Coin is a digital coin designed to make instant payments using blockchain technology. The exchange of value, such as money, between different parts on a blockchain requires a digital currency, so we created the JPM coin.
"The JPM piece is not money in itself," said Umar Farooq, Head of Digital Cash Services and Blockchain. "This is a digital coin representing US dollars held in JPMorgan Chase N.A. designated accounts. In summary, a JPM coin always has a value equivalent to one US dollar."
As the largest bank in the United States deploys its own cryptocurrency for payments, the crypto community has begun to make fun of Ripple and its XRP digital badet.
Crypto OG, Whale Panda declared"If you listen very carefully, you will hear all the Ripple owners scream in pain. Congratulations to jpmorgan for creating a useless shitcoin. "
Ran Neu Ner, CNBC CryptoTrader Host joked"I wonder why they do not just use XRP!"
"Because the case of use is different. Internal Regulation is not cross-border / multi-entity settlement. The peg to the USD is another name for stablecoin. DAs issued by banks carry a counterparty risk. This has nothing to do with XRP but is optimistic for XRP and the market as a whole, "said Ecent, an XRP enthusiast.
He then added, "When JP Morgan is happy to publish what he calls a crypto, it's good for everyone. One moment, try to put aside tribalism.
Alex Kruger, crypto trader, added: "This JPM coin is the first major step taken by one of the big banks against Ripple's ambitions."
In response, an XRP enthusiast responded"No it's not, again it's a debt recognition, it's not that hard to understand." He added, "As a small bank, you do not want to negotiate with letters of appreciation from JP Morgan. "
XRP supporters also shared the name of Ripple's general manager, Brad Garlinghouse, with LinkedIn. article "The Case Against BankCoin" from 2016 when UBS, Deutsche Bank, Santander and BNY Mellon announced their "public utility settlement coin" for blockchain settlement.
See also: JPMorgan launches JPM Coin, the first bank in the world to launch cryptocurrency
Speaking of the digital badet issued by the bank that can "really settle effectively only between the banks that issued it," Garlinghouse has presented two scenarios that could come to fruition.
"Scenario 1: All the world's banks put aside competitive and geopolitical differences, adopt the same digital badet, agree on its rules and harmoniously govern its use. Big luck.
Scenario 2 (most likely scenario): banks not belonging to the issuer group issue their own digital badets with their own sets of rules and governance. "
With that, he said, many problems would arise, including the creation of a unique digital badet market, which would be a clutter.
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The cryptographic community does not care about the "JPM coin" for payments, XRP supporters fight back
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We have just announced that JP Morgan Chase has launched its own cryptocurrency based on the same structure as a stablecoin. The bank confirmed in its official announcement that,
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Anjali Tyagi
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Coingape
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