Wall Street Giant JPMorgan wants to save the banking industry from crypto alternatives such as Ripple and Bitcoin. The company wants to protect the big cash that comes from cross-border payment systems and in the coming altcoin news today we find out why.
According to the Financial Times, the Wall Street giant has a plan to add a payments settlement feature to the Interbank Information Network. This new feature will allow payments to be made and verified in real time as they are being rolled out to a valid account. This way, delays and cancellations of transactions will be eliminated that usually come from errors or if a wrong account number is provided. The system should be launched in July.
Currently, the Interbank Information Network use cases are only set to enable information sharing among banks on an accessible mutual ledger. All of the financial institutions including JPMorgan are able to resolve all of the compliance issues that are one of the biggest problems when it comes to payments delays. So far, more than 200 banks globally joined the IIN blockchain network which is powered by Quorum.
Additionally, JPMorgan also wants to increase the development of IIN applications. The company wants to set up an environment offering fintech startups to use different building blocks and tools. These tools will include data modeling and secure messaging.
As pointed out in the best cryptocurrency news sites, the financial institution announced the JPM Coin which should introduce payments settlement features for the IIN. JPMorgan sees cryptocurrencies as a threat since they take away the lucrative fees and commissions that come out of money transferring. Currently, the payments businesses records of the company are over $6 trillion in daily transactions. The new cryptocurrency will target transnational corporations and other clients of the bank.
Although the CEO of JPMorgan Jamie Dimon is a huge bitcoin skeptic, the company has invested in blockchain technology for years. Just last month, the bank was named the leading recruiter of blockchain specialists. Also, this year, the technology budget of the company is the biggest one yet and a huge portion of it is meant for the blockchain development.
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