Thursday, Apr 9, 2020
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Banks will seek blockchain adoption in next three to five years

banks blockchain adoption
JP Morgan in its report notes that blockchain is vital to fast payments and digital currency

JP Morgan in its recent report said that banks will accelerate blockchain adoption in the next three to five years. Blockchain technology is vital to fast payments and digital currencies. 

The report said “The groundwork is now in place for more mainstream adoption of blockchain technology at the same time that the foundation is being established for the development of digital currency and fast payments.”

Developments over the past year have not altered our reservations about the limited role that cryptocurrencies play in global portfolio diversification or as a hedge instrument.” 

According to the JP Morgan report, blockchain adoption, fast payments and digital currencies are progressing into the mainstream. However, widespread adoption of blockchain technology can be expected in the next three to five years. 

Currently, the cryptocurrency market is pacing well. But the price volatility in crypto assets continues. Still, the market is witnessing an increase in institutional participation and signing of new contracts on regulated exchanges, media reports said. 

JP Morgan uses blockchain and is involved in the development of cryptocurrency assets, media reports said. In 2016, it became the first bank to open source a blockchain protocol, the report said. The bank was also the first to create and test a digital coin representing fiat currency. 

JP Morgan continues to invest in Quorum and has a team fully focused on Quorum development to meet the requirements of established financial institutions. 

Also, it is reported that the investment bank was planning to merge its blockchain platform with ConsenSys. ConsenSys is a US-based technology firm focused on Ethereum blockchain solutions. 

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