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JPMorgan tests deposit token on blockchain linked to Coinbase

Wednesday 18 June 2025 15:06 CET | News

JPMorgan Chase has launched a pilot program for a token representing dollar deposits, indicating that financial institutions are venturing into digital assets.

JPMorgan representatives announced that in the coming days, the company will transfer a fixed quantity of JPMD tokens from the bank’s digital wallet to Coinbase Global, one of the largest cryptocurrency exchanges in the US.

 

JPMorgan tests deposit token on blockchain linked to Coinbase

 

Token issuance and transfer on Coinbase's Base Blockchain

The issuance and transfer of these tokens will take place on Base, a public blockchain affiliated with Coinbase, and will be denominated in US dollars. Following this transfer, Coinbase's institutional clients will have the opportunity to use these deposit tokens for transactions.

JPMorgan (JPM) plans to conduct a pilot program for several months before potentially expanding it to additional users and currency denominations, pending regulatory approvals. Officials noted that deposit tokens “represent a superior alternative to stablecoins” for institutional clients, as they are based on fractional banking, which offers greater scalability.

In the future, deposit tokens like JPMD could also be interest-bearing and protected by deposit insurance, distinguishing them from current stablecoins.

In late Tuesday trading, JPMorgan Chase (JPM) shares fell by 0.4%, while Coinbase (COIN) experienced a decline of 3.1%. This coincided with a 1.5% drop in Bitcoin (BTC-USD), which settled at USD 105.2 K.

Other developments from JPMorgan

In June 2025, JPMorgan formed a partnership with Conferma, a provider of virtual card technology.

Through Conferma's updated integration within the JPMorgan Payments Partner Network, businesses based in the EU were able to issue and manage virtual cards more effectively. This collaboration unlocked multi-currency capabilities and provided added flexibility, enabling the modernisation of payments throughout the region. As demand for faster and more secure payment solutions increases, the adoption of virtual cards is accelerating rapidly, with 88% of businesses currently using or considering them.


Source: Link


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Keywords: cryptocurrency, deposit, stablecoin, tokenization, payments
Categories: DeFi & Crypto & Web3
Companies: JPMorgan
Countries: United States
This article is part of category

DeFi & Crypto & Web3

JPMorgan

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