Card issuer Mastercard is feeling the sting from a decision by top US banks to ban credit card transactions for cryptocurrencies. Cross-border volume growth is on a downward trend, as evidenced by a 19% increase last month compared to 21% for all of the first quarter, according to the company’s earnings results. Continue reading Crypto Purchase Ban Hits MasterCard Earnings
For a bank that has distanced itself from cryptocurrencies, JPMorgan is sure fond of the blockchain.
The biggest US bank based on assets joined forces with the National Bank of Canada, among others, to develop an application based on its Quorum technology for debt issuance on the blockchain (corporate bonds, Treasury bonds, etc.) The test involved the issuance of $150 million of a one-year floating rate Yankee CD alongside a “simulation” of the issuance on the blockchain, according to the announcement. JPMorgan acted as the sole dealer. Continue reading JPMorgan Tests the Waters for Debt Issuance on a Blockchain
JPMorgan Chase is considering making Quorum, its Blockchain and smart contracts platform, into its own company, Bloomberg reported yesterday, March 23. A unnamed source told Bloomberg that no conclusion has yet been reached about whether Quorum would function better as an independent entity, which could potentially attract more partners. The Financial Times adds that other unnamed sources have said that the JPMorgan label attached to Quorum may be steering away potential partners that are also competitors of JPMorgan. Continue reading JPMorgan Considers Making Blockchain Platform Quorum
JPMorgan Chase, the largest bank in the US, has formally acknowledged that cryptocurrencies and blockchain technology could disrupt banks. The firm made this admission in its annual report, which was dated Feb. 27 and filed with the US Securities and Exchange Commission (SEC). Deep in the 301-page document, JPMorgan — which manages $2.53 trillion in assets according to recent estimates — listed cryptocurrencies and peer-to-peer technology as potential disruptors to financial institutions and payment processors. Notably, the report was signed by JPMorgan CEO Jamie Dimon, a noted Bitcoin skeptic who has repeatedly lambasted the flagship cryptocurrency as a “fraud” and once threatened to fire any employees caught trading cryptoassets, although he recently walked back some of these comments. JPMorgan is at least the third major financial institution to cite cryptocurrencies as a business risk in its annual report for 2017. Last week, Bank of America — the second-largest US bank — admitted that cryptocurrencies and other blockchain-based financial services present a threat to its business model, adding that it fears it anti-money laundering systems will need a facelift to account for cryptocurrency-related transactions.