A research unit of the cryptocurrency exchanges Binance has prepared a report on the recently announced stabilise JPMorgan Chase, which, according to analysts, “a minimal amount will come into direct competition” issued by the company Ripple XRP cryptocurrency.
As reported Binance Research, pilot project JPM Coin will initially be focused on the implementation of transactions between financial institutions and is based on the blockchain Quorum, which is a variation of the Ethereum with limited access.
In the context of interbank settlements sphere of influence JPM Coin will not interfere with the XRP, since the latter is the “intermediate currency between Fiat/cryptocurrencies and any fiduciary product”, while the first is used in strictly defined scenarios.
Binance Research claims that JPMorgan Chase, the amount of assets under management of $2.6 trillion, “could become the largest Issuer of stablon on the blockchain in the context of the volume of coins in circulation and total market capitalization”.
Also JPM Coin has every chance to assume the role of a “prototype tablconv third generation” focused on the world of traditional Finance and meet certain business needs through the blockchain with limited access, which adds Binance Research. According to analysts, a bright representative of the first generation tablconv is Tether competition which in 2018 was to be regulated a whole series of coins of the “second generation”.
Cryptocurrency JPMorgan, in turn, can have a significant impact on the cost and speed of calculations in the field of traditional financial services, but in the short term it will not pose a threat to public market tablconv.
“Large banks and financial institutions have a certain set of benefits at issue are secured by Fiat tablconv. However, such proposals will not replace are available for public trading liquidity stabilini in the near future, as they are based on the blockchains of the closed type,” adds Binance Research.
In addition, JPMorgan developed a centralized cryptocurrency is unlikely to be taken up by other banking institutions of comparable size, which in the future may issue their own stabilini, analysts conclude.
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