JPMorgan Chase is set to issue its JPMD stablecoin, a USD-backed digital token, targeting approved institutional investors on the Ethereum-based Base network. This move comes after the bank recently filed for a trademark patent for the JPMD and indicates a notable shift in JPMorgan’s stance toward digital assets after years of skepticism.
The launch is timely, coinciding with the expected passage of the GENIUS Act by the U.S. Senate, which aims to regulate the stablecoin industry. This regulation could significantly increase stablecoin adoption, potentially expanding the current market value from $261 billion to an estimated $3.7 trillion by 2030. According to U.S. Treasury Secretary Scott Bessent, a flourishing stablecoin ecosystem might also influence demand for U.S. Treasuries, potentially lowering government borrowing costs.
Base has seen impressive growth over the past year, boasting approximately $3.7 billion in total value locked (TVL) and expected to gain more traction through JPMorgan’s involvement. The stablecoin will facilitate fast and secure transactions among institutional clients, marking it as the first of its kind on a public blockchain, according to statements from Base.
The launch is timely, coinciding with the expected passage of the GENIUS Act by the U.S. Senate, which aims to regulate the stablecoin industry. This regulation could significantly increase stablecoin adoption, potentially expanding the current market value from $261 billion to an estimated $3.7 trillion by 2030. According to U.S. Treasury Secretary Scott Bessent, a flourishing stablecoin ecosystem might also influence demand for U.S. Treasuries, potentially lowering government borrowing costs.
Base has seen impressive growth over the past year, boasting approximately $3.7 billion in total value locked (TVL) and expected to gain more traction through JPMorgan’s involvement. The stablecoin will facilitate fast and secure transactions among institutional clients, marking it as the first of its kind on a public blockchain, according to statements from Base.
