February 14, 2019 11:17 PM
Until now, global banks and corporations have relied on traditional wires to transfer value. J.P. Morgan’s digital coin, the JPM Coin, is poised to change that.
Picture this: You’re the treasurer of a giant oil refinery who needs confirmation that a payment to the crude producer based overseas went through. A tanker full of crude is sitting in the Gulf of Mexico, also waiting for payment confirmation before it can head into port. Time, of course, is money, and in this case, worth well into the millions.
You, the anxious treasurer, had previously given your primary commercial-services bank instructions to make a wire transfer on your behalf. But that was 28 hours ago. Everyone’s still waiting. If the wire doesn’t confirm in the next three hours, a big transaction could be foiled. You will catch an earful, at the very least.