- JPMorgan introduces JPM Coin for institutional clients on Coinbase’s Base Layer 2 network.
- The deposit token enables instant, regulated payments backed by U.S. dollar deposits.
- Major institutions like Mastercard and Coinbase participated in pilot testing before rollout.
JPMorgan has launched JPM Coin (JPMD), a deposit token for institutional clients on Coinbase’s Base Layer 2 network. The launch strengthens the bank’s blockchain strategy and supports faster, 24/7 digital payments for corporate users.
🏦 JPMorgan launches blockchain-based deposit token: “JPM Coin”
JPMorgan has rolled out a tokenized version of bank deposits for institutional clients.
These tokens represent actual dollars held at JPMorgan, but move and settle on a public blockchain (Base)- 24/7, within…— Constantin Kogan (@constkogan) November 12, 2025
The token symbolizes the U.S dollar deposits at JPMorgan, and thus the clients will be able to send and receive money in Base within seconds. It eliminates the delays that are caused by the traditional banking hours and promotes continuous settlement. The implementation is after pilot testing with Mastercard, Coinbase and B2C2 over months and validation of the system was done, and it complies with the regulation.
According to Bloomberg, JPM Coin is one of the initiatives of JPMorgan to merge blockchain technology with the conventional banking activity. The launch signals a significant move toward regulated blockchain-based payment systems for institutions.
Deposit Tokens Offer Regulated and Yield-Bearing Potential
Naveen Mallela, global co-head of Kinexys, JPMorgan’s blockchain unit, said the bank plans to expand the token to partner institutions and additional currencies once regulatory approval is granted. The bank has already secured the JPME trademark for a euro-based version.
Deposit tokens are digital assets that are claims of pre-existing deposits, enabling the transfer of funds across blockchain networks. In contrast to stablecoins, JPM Coin is completely secured by deposits at JPMorgan, which offers security and transparency. It also possesses the potential of yield bearing where institutions would gain controlled returns on underlying balances.
Mallela noted that deposit-based products offer institutions a reliable alternative to stablecoins. The Kinexys Digital Payments network already processes over $3 billion in blockchain transactions daily, and JPM Coin extends these capabilities to public ledgers like Base.
Broaden Adoption of Tokenized Payment Systems
The move by JPMorgan is following an increasing interest in blockchain-based banking. Banks like Citigroup, Deutsche bank and PayPal are also coming up with the same so that they can optimize the payments and minimize the settlement periods.
The UK Barclays, Lloyds, and HSBC are in the process of testing tokenized sterling deposits, and BNY Mellon is looking at blockchain-based infrastructure to update cross-border transactions. Also, DBs and Kinexys are in development of interoperability solutions to bridge public and permissioned blockchain networks.
The JPM Coin launch highlights the transition to regulated digital settlements, and demonstrates how banks are embracing blockchain into the mainstream financial business to improve efficiency and transparency.
