Executives at JPMorgan Chase weigh in on stablecoin regulation and crypto competition

Executives at JPMorgan Chase weigh in on stablecoin regulation and crypto competition

During JP Morgan Chase’s earnings call for the fourth quarter of 2020, CEO Jimmy Dimon and CFO Jennifer Pepszak focused on the recent OCC approval of banks using fixed currencies for payments, as well as whether or not the approval will have any impact on JPM Coin’s development.

During the question-and-answer portion of the call, Portales Partners analyst Charles Peabody asked whether the OCC agreed to Banks to use public blockchain networks for payments.

“This directive enables a steady supply on the public blockchain. So it doesn’t affect the JPM coin. The JPM coin, you should consider it token to our clients’ deposits,” JPM CFO Jennifer Piepszak responded, according to a copy the same as orgenal From the call.

However, it did not rule out the possibility of a stable JPM-backed currency if clients showed interest.

“So, it’s obviously very early. We’re going to evaluate the use cases and – and customers ask. But – but it’s still too early to tell where this is going for us.”

JPM CEO Jimmy Dimon was quick to jump in and stated that the bank “is already using the blockchain to share data with banks, so we’re at the forefront of what’s good.”

JPM Coin made its debut in October of 2020 Largely used as background for JPM payment systems, Helping to settle nearly $ 6 trillion in payments on a daily basis. In the call, Piepszak also described the JPM Coin project as “token deposits to facilitate payments to the customer.”

In the end, Dimon seemed to imply that settling crypto payments wouldn’t significantly change how JPM operates.

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“There is talk of many banks having cryptocurrencies and things like that, right?” Damon concluded. “[…] So I am – expecting things to come and may not change our world much ‘

Damon may underestimate the effect Crypto will be on the payments scene, However.

PayPal, one of the fintech giants named by Damon as a payment competitor, has confirmed that crypto payments will be available starting in 2021. CEO – A former cryptocurrency skeptic Explain that payments will become an increasingly crowded area over the next decade:

I expect the competition to be very tough in the next 10 years. I expect to win. help me God.