J.P. Morgan’s Deposit Token to Be Issued Natively on Canton Network

Digital Asset and Kinexys by J.P. Morgan on Wednesday, Jan. 7, unveiled plans to issue J.P. Morgan’s JPM Coin (JPMD) natively on the Canton Network, a public, privacy-focused Layer 1 blockchain.

The collaboration would allow JPM Coin, a USD-denominated deposit token backed by J.P. Morgan deposits, to be issued, transferred, and redeemed directly on Canton, according to a press release viewed by The Defiant. The firms said the rollout will take place in phases throughout 2026.

The move, according to Yuval Rooz, co-founder and CEO of Digital Asset, is intended to show how regulated digital money can move on blockchain infrastructure while still meeting institutional requirements for privacy and compliance.

“With JPMD issued directly on Canton, cash can sync with assets and smart contracts across markets, meaning settlement can happen in near real time instead of being locked up on legacy rails,” Rooz told The Defiant. He added that the effort is aimed at placing deposit tokens, tokenized assets, and institutional workflows on the same public network.

“That convergence matters. It means cash and assets can move together, settle faster, and operate with the same confidence institutions expect today, but with the efficiency of modern digital infrastructure,” he said.

The firms said they will also explore bringing other Kinexys Digital Payments products, including J.P. Morgan’s blockchain deposit accounts, onto Canton. Canton’s native token CC is currently trading at $0.133, down 3% on the day, according to CoinGecko.

The announcement follows the adoption of the Canton Network by the Depository Trust & Clearing Corporation (DTCC). The DTCC in December 2025 decided to use the network to test tokenized U.S. Treasuries, citing its privacy features while operating on shared blockchain infrastructure, The Defiant previously reported.

The move also adds to J.P. Morgan’s continued efforts to bring traditional financial products on-chain. Last month, the bank launched a tokenized money market fund on Ethereum.

Meanwhile, in November 2025, Alibaba said it plans to launch a stablecoin-like global payments system using J.P. Morgan’s blockchain technology. That announcement followed J.P. Morgan’s launch of JPMD on Coinbase’s Layer 2 Base.