JP Morgan CIO Says Blockchain Will Replace Existing Technology

JP Morgan CIO Lori Beer said at a conference session in Buenos Aires that blockchain will “replace existing technology” in a couple of years, as per Argentinian site Cripto247 August 23.

“We will see a greater and wider use of blockchain […] In a few years blockchain will replace the existing technology, today it only coexists with the current one,” Beer said.

Brew disclosed to Cripto247 that JP Morgan utilizes blockchain innovation to “simplify the payment process and to store customers’ information related to KYC (Know Your Customer) policy.” She added that blockchain innovation averts money laundering. Brew additionally clarified the utilization of blockchain innovation by the bank:

“We are currently following many paths. We invented a blockchain with an open code based on Ethereum. Actual blockchain technology has not yet resolved issues with privacy and scalability that we needed. We are connected to Hyperledger and Enterprise Ethereum Alliance. The application of this technology in business is more important to us than the technology itself. We are looking not only for cost reduction but also for opportunities to develop new products.”

Beer was asked about JP Morgan’s situation on purchasing cryptocurrency. She clarified that the bank just supports what is controlled and has experts who are “evaluating what is happening” with virtual currencies. At the point when asked about the institutional position with respect to Initial Coin Offerings (ICOs), Beer decided not to react.

Prior in August, Cointelegraph reported that JP Morgan Chase’s CEO Jamie Dimon was hopeful about blockchain. “[JPMorgan] is testing [blockchain] and will use it for a whole lot of things,” he said.

In May, JP Morgan Chase documented a patent for a blockchain powered peer to peer payments system that could be utilized for intra-and interbank settlements. The patent application proposes utilizing a distributed ledger to process payments progressively, without relying on a trusted third party confided to hold the genuine “golden copy” of the review trail.