JPMorgan Chase’s Dimon weighs in on stablecoin, open banking
Expenses for FY2025 expected to total $95.5B
JPMorgan expects to have a seat at the stablecoin table.
“We’re going to be involved in both JPMorgan deposits coins and stablecoins to understand it and to be good at it,” CEO Jamie Dimon said today during the $4.2 trillion bank’s second-quarter earnings call.
The bank needs to be aware of what fintechs are building in terms of stablecoins, money movement and payments, Dimon said, noting, “the way to be cognizant, is to be involved.”
In June, the bank announced its JPMorgan Dollar (JPMD), enabling payments on public blockchain networks, Naveen Mallela, global co-head of Kinexys by JPMorgan, previously told Bank Automation News.
Open banking
Dimon also discussed the bank’s desire for clarity around open banking during the call.
In a court filing May 23, Consumer Financial Protection Bureau leadership made a move to pull back on open banking regulation.
“We think the customer has the right to, if they want to share their information,” he said. However, they should understand what exactly is being shared.
Additionally, there needs to be a liability shift, Dimon said. For example, if a customer gives a third party access to their data and that ends in a scam or fraud event, responsibility should not fall on JPMorgan, he said.
BY THE NUMBERS: In Q2, JPMorgan reported:
- Technology, communications and equipment expense increased 11% year over year to $2.7 billion;
- Payments revenue of $4.7 billion, up 4% YoY; and
- Total expenses for the year are projected to reach $95.5 billion.
NOTEWORTHY: J.P. Morgan Payments’ Ryan Schmiedl will speak during Bank Automation News’ webinar “Seamless integration: The new frontier in embedded payments” on Tuesday, July 22, at 11 a.m. ET.
Schmiedl is the global head of embedded finance platform and products and global head of payments trust and safety and AI/ML at J.P. Morgan Payments.
Register here for the free webinar.
MARKET REACTION: Shares of JPMorgan Chase (NYSE: JPM) were down 0.57% from market open to $287.00 as of 1:39 p.m. today. JPMorgan has a market capitalization of $797.7 billion.
