New York, NY — J.P. Morgan has officially launched its JPM Coin deposit token on Base, marking a new era of regulated, onchain commercial banking. The move follows months of pilot testing and signals the start of full-scale adoption for the bank’s blockchain-native infrastructure under its Kinexys division.
The milestone comes just months after J.P. Morgan’s private equity tokenization proof-of-concept and underscores how the firm is positioning itself at the center of institutional blockchain innovation.
From Pilot to Production
In June, J.P. Morgan unveiled its JPMD pilot on Base, the Coinbase-developed Layer 2 network, as part of Kinexys’ broader effort to modernize wholesale payments and asset tokenization. That pilot has now evolved into a production-ready system under the JPM Coin brand, with early institutional participants including Mastercard, Coinbase, and B2C2 executing initial transactions.
“JPM Coin delivers the security of bank-backed deposits and settlement, combined with the speed and innovation of near real-time blockchain transactions."
The token is available to J.P. Morgan’s U.S. institutional clients for 24/7 onchain transfers, representing fully backed U.S. dollar deposits. Unlike traditional stablecoins, JPM Coin is issued directly by the bank, allowing instant settlement without transferring funds to an external issuer or exchange.
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Institutional Banking Meets Public Blockchain
The deployment marks the first time a major U.S. bank has issued a dollar-denominated deposit token on a public blockchain, bridging the gap between regulated finance and open Web3 infrastructure.
The Base network—developed by Coinbase—serves as the initial launch environment, chosen for its compliance-friendly architecture and integration with institutional liquidity providers.
According to Mallela, J.P. Morgan plans to expand JPM Coin’s reach to other blockchains and currency denominations in the future, pending regulatory approval.
Crypto market maker B2C2 and Mastercard were among the first to participate in trial settlements, while Coinbase has begun exploring JPM Coin as collateral for liquidity operations, according to early reports.
Deposit Tokens vs. Stablecoins
Unlike stablecoins such as USDC or USDT, deposit tokens represent onchain claims to existing bank deposits—fully redeemable and regulated under U.S. banking law. They are designed for institutional-grade transactions, offering yield-bearing potential and built-in compliance mechanisms.
“We think that stablecoins get a lot of buzz,” said Mallela, “but for institutional clients, deposit-based products offer a compelling alternative.”
With the ability to settle across borders instantly and maintain compliance under U.S. supervision, JPM Coin could serve as a blueprint for how regulated digital cash operates in the next phase of global banking.
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Setting the Stage for Kinexys
The launch also represents the first major rollout under J.P. Morgan’s Kinexys division, a blockchain infrastructure platform built to unify tokenized assets, payments, and identity across financial institutions.
Kinexys’ long-term goal: to make real-time programmable finance an institutional standard, with regulated deposit tokens like JPM Coin forming the liquidity backbone for a multi-chain financial ecosystem.
