Bahrain’s Central Bank summarised JPM’s cryptocurrency test, which allowed Bank ABC to begin accepting real payments for the Aluminium Bahrain (ALBA) coin.
The Central Bank of Bahrain (CBB) has ended its examination of the JPM—coin. JPMorgan’s JPM coin is a cryptocurrency token designed to simplify payments via the use of blockchain technology.
The CBB decided to take additional actions in order to improve the client experience for safe and efficient settlement services. As a result, the bank conducted a test run of the JPM coin. This cross-border test involves the use of blockchain technology by a US bank.
Two other large enterprises were included in the test: Bank ABC in Manama and Aluminum Bahrain. Aluminum Bahrain is the Middle East’s first aluminium smelter and is perhaps more renowned than the Alba. Bank ABC may now make real payments to Aluminum Bahrain using the JPM cryptocurrency as part of the experiment.
The Central Bank of Bahrain oversaw the trial project, which resulted in a win-win situation for all sides. Additionally, Mr. Rasheed Al-Maraj, Governor of Bahrain’s Central Bank, explained the test’s success. Additionally, he said that the Kingdom will continue to use new technology to improve local financial distribution.
He said in his statement that the business wants to eliminate the ineffectiveness of traditional cross-border transactions by cooperating with Bank ABC, Alba, and JPMorgan‘s Onyx.
Additionally, Mr. Sael Al Waary, Group Executive Vice President of Bank APC, said that his company’s participation in the project was a success. He previously stated that cryptocurrencies will be critical in transforming digital economies in the future.
Ali Mousa, the CEO of JPMorgan, also remarked on the idea. He noted that JPMorgan Bahrain, a subsidiary of JPMorgan Onyx, is committed to guiding the next generation’s growth. This is the generation of clearance and settlement substructures that we are discussing.
Additionally, he said that the test runs with Bank ABC and Alba would contribute in the development of JPM’s cryptocurrency systems for future usage by banking partners.
Although the company’s CEO, Jamie Dimon, is a vocal cryptocurrency opponent on a worldwide scale, the aforementioned step is not the company’s only crypto-related activity.
During the summer of last year, the bank allowed its wealth management clients to participate in six cryptocurrency investment rounds. Grayscale Investments is responsible for four of the six.
Grayscale Bitcoin Trust (GBTC), Grayscale Bitcoin Cash Trust (BCHG), Grayscale Ethereum Trust (ETHE), and Grayscale Ethereum Classic Trust are some of these products (ETCG). Apart from that, Osprey Fund includes Osprey Bitcoin Trust (OBTC).