JPMorgan Bank released the annual report of JP Morgan Perspectives, which stated that although the use of blockchain is increasing, the mass adoption of the technology will occur only after a few years.
Analysts at one of the largest financial conglomerates in the world emphasized that the use of blockchain is becoming popular among financial companies, such as stock exchanges, but the universal adoption of distributed ledger technology will happen only after a few years.
“We see the potential of the blockchain in transforming banking business models. The technology allows you to efficiently and safely exchange information and store it”Annual Report JP Morgan Perspectives
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At the same time, analysts emphasize that the massive adoption of the blockchain strongly depends on the attitude of regulators. In addition, it is necessary to solve some technological problems, including the issue of data exchange between various blockchains.
“We see a wide distribution of blockchain-based solutions for 3-5 years. However, there are various problems, such as macroeconomic factors, as well as regulatory and regulatory obstacles. It is worth noting technological problems that can slow down the adoption of technology ”Annual Report JP Morgan Perspectives
The use of blockchain is becoming popular
The report also touched on the prospects of stablecoins, including the Libra project, developed by the social network Facebook. According to analysts, such a project can become a really popular means of payment in case of stable operation.
“Stablecoins, including Libra, can grow exponentially and occupy a significant share of financial transactions in the world. However, currently stablecoins are not suitable for this role due to the mismatch of the microstructure of the projects with the criteria of the payment system. In addition, the lack of liquidity in stable cryptocurrency projects causes risks that the volume of transactions can grow too sharply and the stablecoin base currency can’t cope with such a volume of operations”Annual Report JP Morgan Perspectives
The document emphasizes that for stable cryptocurrency projects it is extremely important to accept stablecoin as a legitimate means of payment by any state.
Last fall, the head of JPMorgan Bank, Jamie Dimon, expressed the opinion that the Libra project is a great idea, which, unfortunately, will not be translated into reality.