JPMorgan to Pilot Permissioned USD Deposit Token JPMD for Institutional Clients on Coinbase’s Layer-2 Ethereum Blockchain Base

JPMorgan Chase has announced a pilot program for a new deposit token named JPMD, which represents U.S. dollar deposits held at the bank. The pilot will be conducted on Base, a layer-2 Ethereum blockchain developed by Coinbase. JPMD is a permissioned token designed primarily for institutional clients during the pilot phase and is backed 1:1 by U.S.

dollars. Unlike traditional stablecoins, JPMD could potentially bear interest in the future. The initiative marks JPMorgan's first launch on a public blockchain and reflects the bank's deeper engagement with the digital asset sector. The pilot is expected to begin imminently, with JPMorgan transferring a fixed amount of JPMD tokens to Coinbase. This move is seen as part of a broader trend of financial institutions leveraging blockchain technology to enhance real-time settlement and digital dollar transfer capabilities.