JPMorgan plans to test its proposed cryptocurrency, the JPM Coin, by the end of the year, according to reports.
Umar Farooq, the head of digital treasury services and blockchain at the company, said the firm will run a pilot of the coin with select customers near the end of 2019, if regulators allow it.
Since revealing plans for the coin in the middle of February, the bank has seen interest from customers all around the world. Many clients are interested in the coin’s ability to potentially speed up bond and securities transactions.
Farooq has said the cryptocurrency could make bond delivery instant, and that a number of stocks will become fully digital in the next five to 20 years. He also said he thinks the possibilities for blockchain are “endless.”
In other JPMorgan news, the firm has shut down its youth-focused endeavor called Finn. The pilot program began in October 2017, and a nationwide rollout began in June of last year. The Wall Street Journal reported that the company started telling clients on June 5 that it was shuttering Finn, which had been rolled out as no-fee banking app. According to the financial publication, those customers are having funds transferred to other Chase accounts, across savings and checking options.
The move comes as banks are bringing digital offerings (especially mobile ones) to their portfolios, as physical banks are on the decline. The Finn offering is seen as a hybrid offering, as it revolved around a digital app and also offered branch access. In one feature set, Finn consumers had free access to a partner network outside of the Chase ATM network. Beyond that, the competitive landscape had been marked by Goldman Sachs and Ally Financial, among others, noted for offering higher interest rates on their accounts.