The Strategist

JPMorgan to create a crypto currency strategy

05/18/2018 - 10:11

Head of the London financial department JPMorgan Chase & Co Oliver Harris will be responsible for the bank's crypto-currency strategy. He will also head a project developed by Quorum company and aimed at creating the bank’s own blockchain platform. This is reported by Financial News.

Public Domain Pictures
Public Domain Pictures
The news that JPMorgan has decided to create its own crypto-currency strategy is noteworthy. Earlier, the bank's head Jamie Dimon repeatedly made critical statements against Bitcoin. Later, however, he made it clear that he was "open" to crypto-currency with proper regulation.

Details of the new crypto currency strategy of JPMorgan are not revealed yet. However, it is assumed that the 29-year-old Harris will be responsible for creation and promotion of his own crypto-currency products, intended, for example, to store digital currencies.

For the past two years, Oliver Harris has been involved in the "In Residence" program, in which JPMorgan enters into agreements with prospective fintech startups.

Earlier in an interview with CNBC, JPMorgan co-president, Daniel Pinto, said that the bank began to explore the crypto-currency sector, although it remains skeptical about digital currencies.

Pinto noted that the bank, first of all, is interested in the blockchain technology, because it is able to improve the financial system.

"We are exploring this space. I have no doubt that this technology will somehow play its role," he stressed.

At the same time, the top manager of JPMorgan noted that the underlying anonymous crypto currency can negatively influence business reputation of large financial institutions.

"Such an asset will not last long, because people will stop believing in it, or it will simply be killed by regulators. I think this concept is justified, and many central banks are exploring this topic. For me personally, the tokenization of the economy is quite real. Crypto-currencies are real, but not in their current form," he said.

According to Pinto, JPMorgan can also start clearing Bitcoin futures, although the bank rejected the idea earlier.

Recall, in early May, JPMorgan announced its intention to patent a system that involves the use of blockchain technology to accelerate and verify financial transactions.