Argentina Banks JPM Coin As Central Bank Reviews Crypto Ban: Report
Argentine banks are reportedly testing JPMorgan's deposit token infrastructure for back-end settlement workflows, even though the country's central bank still prohibits lenders from offering most crypto-related services to their customers, local outlet iProUP reported.
A group of financial institutions has begun testing a depository called JPM Coin designed for institutional use. Banco CMF is among the confirmed participants in the report as part of JPMorgan's small viable product, operating under the newly launched corporate unit QORP.
“In the first phase, banks are expected to work on consolidation of existing services to ensure settlement improvements and interbank reconciliation of integrated banks,” CMF Chief Information Officer Maximiliano Kohn told the newspaper.
The tests are ongoing without moving real funds. While transactions are done through traditional systems, blockchain is used to record and reconcile transactions. Industry sources cited by iProUP indicate that other lenders, including Banco Galicia, BIND and Banco Comafi, are considering joining the program.
RELATED: New evidence in Libra investigation renews questions about Miley's involvement
The initiative comes as the Banco Central de la República Argentina (BCRA), Argentina's central bank, is reviewing legislation that would prohibit banks from offering crypto services. Despite the ban, it does not prevent institutions from using blockchain infrastructure internally.
Cointelegraph reached out to Banco CMF for comment, but did not receive a response by press time.
JPMorgan says JPM Coin will be ready for institutional clients in November 2025 following a proof-of-concept on the Coinbase-developed layer-2 network Base. In January, the bank joined Digital Asset to expand JPM Coin on the Canton Network.
RELATED: Why Argentina Is Banning Polymarkets Despite Global Growth
The Latin American crypto market has surged.
Latin America has emerged as one of the fastest-growing crypto regions with a transaction volume of nearly $1.5 trillion between 2022 and mid-2025, with monthly activity rising to $87.7 billion in December 2024, according to Chinalysis' 2025 Geography of Crypto report.
According to the report, Brazil leads the market by a wide margin, accounting for nearly one-third of regional activity, followed by Argentina and Mexico.
Magazine: Bitcoin May Take 7 Years to Upgrade to Post-Quantum – BIP-360 Co-Author
