JPMorgan Chase unveiled a prototype for a digital coin system using blockchain. The bank is a first among major banks to introduce the digital coin, called JPM Coin. It is at present in a prototype stage and for business-to-business deals. It would permit institutional clients to make instantaneous payments to other bank clients. Banking biggies like JPMorgan Chase, Bank of America and Citigroup are steering a fifth or more of their overall spending to technology. Under JP Coin, customers would receive the digital ions that could be transferred to other customers, who would then be free to redeem the sum. The system is based on U.S. dollars but could be expanded to other currencies, the bank said. The framework employs the digital ledger technology known as blockchain and is being tested with a small number of institutional clients, with plans to expanded it into a pilot program later this year, the company said on its website.
