$USDC

In a revolutionary move that could reshape the future of digital finance, JPMorgan has announced the launch of a first-of-its-kind digital deposit token called JPMD, currently being tested on the Base network of the Coinbase platform, in a bold step that takes the bank out of closed systems into the world of public blockchain.

According to a report published by Bloomberg on June 17, the new token is fully backed by U.S. dollar deposits at a 1:1 ratio, and a specific amount has been transferred from the bank's wallet to Coinbase, where it is used in experimental transactions for major financial institutions. JPMorgan plans to expand its use later to include other currencies and additional users, pending regulatory approvals.

This step represents a qualitative shift in the bank's strategy, which already operates the Kinexys platform to process over $2 billion daily in digital payments, support tokenized assets, and complex financial settlements via the Liink network.

However, the fundamental difference here is that the JPMD token is issued on a public network rather than a closed system, and it is issued by a regulated bank, making it a direct claim on bank deposits, which gives it an advantage in terms of security and trust compared to traditional stablecoins.