Despite having a non-coiner CEO, JP Morgan is developing a cryptocurrency wallet to suit consumer demand.
The largest bank in the US and one of the biggest financial institutions in the world, JP Morgan & Chase Co, registered a patent to enter the Web3 with a digital cryptocurrency wallet on November 21, according to US Patent and Trademark Attorney Michael Kondoudis.
Kondoudis claims that on November 15, the U.S. Patent and Trademark Office (USPTO) authorized JP Morgan & Chase Co.’s application. The wallet will provide financial services, virtual checking accounts, cryptocurrency payment processing, and transfer and exchange services.
JP Morgan explores the opportunities in cryptocurrency market in more detail
The bank continues to invest in cryptocurrency-related products despite the CEO’s divisive position against Bitcoin and cryptocurrencies in general. They accomplished their first cross-border transaction utilizing Polygon, a Layer-2 scalability solution for the Ethereum network, at the beginning of November, marking a “huge step” for them.
The bank demonstrated its support for crypto innovation by announcing the launch of its JPM Coin stablecoin in late October 2020. JPM Coin is the first cryptocurrency backed by a U.S. bank and used to send cross-border payments. Onyx, the first blockchain platform headed by a bank in the world, was introduced on the same day in order to create cutting-edge marketplaces and platforms.
The “JP Morgan Wallet” trademark registration indicates that the new digital wallet would be used to process bitcoin payments, although it is silent regarding the accepted cryptocurrencies.
If there is a customer need, then there is an opportunity
The CEO of JP Morgan has maintained a strident position against Bitcoin and cryptocurrencies since 2017, branding them “fraud” and “worse than tulip bulbs” as investments. He has even threatened to dismiss any JP Morgan trader who works with cryptocurrencies.
The bank’s board, however, has other ideas for cryptocurrencies. In early 2021, co-president of JP Morgan, Daniel Pinto, stated that the firm was open to investing in Bitcoin and cryptocurrencies if demand increased, which it has been doing despite the Bear Market.
Although 2021 was the strongest year for Bitcoin in terms of price—it reached an all-time high of $69,000 by year’s end—the subsequent drop was enough for Dimon to reaffirm the notion that Bitcoin was a “fraud.”
Despite all the recent bad news about the ecosystem, like the demise of Terra and the insolvency of other hedge funds and cryptocurrency exchanges like FTX, Bitcoin has demonstrated that its user base is willing to use its tokens despite whatever FUD they may encounter.