Wall Street Stablecoin Expansion: JPM Coin Launches on Canton, Tokenized Deposits Accelerate Adoption

JPMorgan Chase takes another step in multi-chain deployment. According to the latest news, the company announced on January 7th that JPM Coin has been deployed to Canton Network, marking the second public blockchain deployment of JPM Coin after its launch on Ethereum Layer 2 network Base in November 2025. This move signifies that traditional financial institutions’ recognition of blockchain infrastructure is shifting from experimental to practical application.

JPM Coin’s Multi-Chain Journey

JPM Coin is a deposit-backed token issued by JPMorgan Chase, representing the bank’s USD deposits, primarily used for payments and settlements for institutional clients. Since its launch in 2019, this token has been operating on JPMorgan’s Onyx platform (a Layer 1 blockchain emphasizing privacy and compliance), with daily transaction volumes reaching billions of dollars.

Previously, JPM Coin mainly operated within a closed, permissioned private environment. But with the addition of Base and Canton, this stablecoin is gradually opening up to a broader blockchain ecosystem.

Why Choose Canton Network

Canton Network is an institutional-grade public blockchain developed by blockchain infrastructure company Digital Asset, utilizing a permissioned participation model, and supported by financial giants such as Goldman Sachs, BNP Paribas, and Deutsche Börse Group. The core feature of this network is providing “configurable privacy,” enabling the protection of sensitive data while meeting regulatory requirements.

JPMorgan Chase’s collaboration with Digital Asset will be phased, initially focusing on supporting JPM Coin issuance, transfer, and near-instant redemption on Canton, as well as exploring integration with Kinexys (JPMorgan’s blockchain and digital payments division) and other digital payment products.

Industry Trend Signals

This expansion is not an isolated event but a microcosm of a larger trend. According to relevant data, the on-chain settlement volume is projected to reach approximately $9 trillion by 2025, representing an 87% year-over-year growth. Besides JPMorgan Chase, institutions like Citibank and Société Générale are also piloting tokenized deposits and on-chain settlement schemes.

Why Traditional Finance is Taking Blockchain Seriously

From JPMorgan Chase’s perspective, this multi-chain deployment reflects several realities:

• Interoperability Needs: A single private chain cannot meet cross-institutional and cross-network settlement demands. Multi-chain deployment allows different financial institutions to use JPM Coin within their familiar ecosystems, increasing participation.

• Balancing Compliance and Privacy: Canton’s configurable privacy features enable banks to operate on public blockchains while satisfying regulatory requirements. This addresses longstanding concerns of traditional finance regarding public chains.

• Efficiency Gains: On-chain settlement can significantly reduce time and operational costs compared to traditional methods, especially attractive for large banks handling cross-border payments.

Short-term and Long-term Significance

In the short term, JPM Coin’s deployment on Canton will strengthen the institutional status of this emerging public chain and attract more financial institutions. Canton’s token CC recently hit new highs, partly reflecting market expectations of this development.

In the long term, this is another proof of traditional finance evolving toward multi-chain financial infrastructure. Actions by institutional players like JPMorgan Chase often signal industry direction. As more banks and asset managers deploy stablecoins and payment tools across multiple chains, tokenized assets and on-chain settlement will shift from niche concepts to fundamental financial infrastructure.

Summary

JPMorgan Chase’s multi-chain expansion indicates that tokenized deposits are moving from proof-of-concept to real-world implementation. This is not just a simple technological upgrade but a strategic layout by traditional finance on blockchain—using multi-chain deployment to enhance interoperability, meet compliance, and improve settlement efficiency. For those interested in blockchain financial development, progress in such institutional applications often reflects more industry maturity than mere price fluctuations. Of course, these applications are still mainly targeted at wholesale finance and permissioned scenarios; retail investors should focus more on the industry maturity reflected behind these developments rather than short-term speculation opportunities.