JPMorgan Launches JPMD on Base Network
Posted: Thu Jun 19, 2025 12:05 pm
JPMorgan has taken a bold step into public blockchain territory by launching JPMD, a permissioned USD deposit token, on Coinbase's Base layer‑2 network. Unlike traditional stablecoins, JPMD represents actual U.S. dollar deposits held at JPMorgan, providing it with a clearer regulatory foundation and the potential to bear interest, features that distinguish it from other digital tokens.
Built using JPMorgan’s Kinexys infrastructure, JPMD aims to offer real‑time settlement, 24/7 as opposed to standard banking hours. This marks the bank's first deployment on a public chain, signaling a shift away from private ledger systems like JPM Coin’s earlier versions.
The choice of Base is strategic. Known for its low fees, fast confirmation times, and scalability within the Ethereum ecosystem, Base supports the type of instant settlement JPMorgan requires. According to Coinbase, having a major banking institution deploy tokens on its network validates Base’s role as a credible platform for institutional finance.
Institutional pilot programs are underway, with JPMD soon to be upleveled through transfers to Coinbase's institutional clients. While it’s unclear if retail users will gain access soon, initial usage is focused on inter-institution transactions, corporate treasury management, and programmable money workflows.
JPMorgan's move may catalyze broader adoption of public chains in regulated finance. Deposit tokens like JPMD combine regulatory clarity with on‑chain programmability, potentially making them faster and more flexible alternatives to conventional stablecoins.
Question for Discussion:
Do you see deposit tokens like JPMD becoming the institutional standard over stablecoins—or are risks like regulatory hurdles and liquidity a barrier?
Built using JPMorgan’s Kinexys infrastructure, JPMD aims to offer real‑time settlement, 24/7 as opposed to standard banking hours. This marks the bank's first deployment on a public chain, signaling a shift away from private ledger systems like JPM Coin’s earlier versions.
The choice of Base is strategic. Known for its low fees, fast confirmation times, and scalability within the Ethereum ecosystem, Base supports the type of instant settlement JPMorgan requires. According to Coinbase, having a major banking institution deploy tokens on its network validates Base’s role as a credible platform for institutional finance.
Institutional pilot programs are underway, with JPMD soon to be upleveled through transfers to Coinbase's institutional clients. While it’s unclear if retail users will gain access soon, initial usage is focused on inter-institution transactions, corporate treasury management, and programmable money workflows.
JPMorgan's move may catalyze broader adoption of public chains in regulated finance. Deposit tokens like JPMD combine regulatory clarity with on‑chain programmability, potentially making them faster and more flexible alternatives to conventional stablecoins.
Question for Discussion:
Do you see deposit tokens like JPMD becoming the institutional standard over stablecoins—or are risks like regulatory hurdles and liquidity a barrier?