JP Morgan has introduced euro-denominated payments for corporate clients using its JPM Coin to bring blockchain closer to traditional banking. JPM Coin was launched by JP Morgan in 2019 and was originally designed to move dollars.

However, the system has been updated to support euro transactions, with Germany’s Siemens AG pioneering the first euro payment on the platform. Since its launch, JPM Coin has been used to process around USD 300 billion of transactions according to Bloomberg, which is still a very small fraction of the bank’s daily transactions. The system’s primary function is to enable wholesale payments clients to transfer dollars or euros to and from their various JP Morgan accounts around the world or make payments to other customers of the bank.

The difference is that these clients would be leveraging the capabilities of blockchain instead of conventional payment rails. A key advantage is that JPM Coin payments operate around the clock and not just during business hours. They’re also executed in a faster manner when compared to traditional payments.

According to Bloomberg, the system can also help treasurers to manage liquidity more efficiently by initiating payments just before they are due. The same source reports that several banks have been trying to come up with applicable ways to leverage blockchain to improve the efficiency of their processes. The main setbacks were identifying large-scale benefits, as well as a way to put these applications to commercial use.

What else has JP Morgan been up to? Apart from its blockchain-related endeavours, JP Morgan has also been focusing on its expansion this year. In June 2023, JP Morgan has announced its expansion in Israel and its decision to enter the commercial banking sector for high-tech commercial banking and companies. The new initiative is part of JP Morgan’s Innovation Economy banking division, which specialises in catering to growth companies, founders, as well as the venture capital community.

This adds to the already existing competition in account management and financial products or services for high-tech firms and companies. In March 2023, JP Morgan revealed that its end-to-end payments solution would power Volvo’s online direct-to-customer sales model for the first electric car roll in India. JP Morgan’s payment product was integrated into the car manufacturer’s website and allowed clients to select, customise, and make down payments and transactions for their online car booking through a range of online and digital payment methods.

The balance was facilitated through electronic fund transfers. .