HomeBlockchainAll the advantages of the blockchain according to JP Morgan

All the advantages of the blockchain according to JP Morgan

CNBC reported that JP Morgan Chase bank has identified three companies whose stocks could benefit from the use of blockchain technology.

In fact, according to a note released by JP Morgan to its customers, IT companies will implement blockchain technology the same way they’ve done with machine learning, artificial intelligence and other advanced technologies.

The companies that, according to the bank, could report “incremental material growth” thanks to the use of blockchain are DocuSign, Ellie Mae and Akamai Technologies.

The first of these companies offers digital signature services and transaction management, the second is a cloud financial platform, and the third, in addition to being a cloud platform, offers logistics services for shipments.

JP Morgan recognizes blockchain’s advantages

The positive opinion of this bank towards blockchain technology is not new.

In fact, at the beginning of October, JP Morgan made it clear that this technology is an integral part of its digital strategy.

JP Morgan advises its customers to look for companies that are in three different situations:

  • The first situation is to be suitable for the implementation of the blockchain to have the potential for disintermediation;
  • The second advantage is the way blockchain technology can solve the lack of trust;
  • The third type of company to look for, according to JP, would be those in a suitable position to offer the “Blockchain as a service” feature.

Sterling Auty, a JP Morgan Chase researcher, explained that each of the listed companies is related to one of these three situations.

Akamai is in a position to offer benefits as a DocuSign blockchain service provider, however, it could benefit from the increased security that comes with the implementation of this technology.

As for Ellie Mae, the researcher said:

“Utilizing blockchain to manage the entire mortgage process could bring trust among parties and use of smart contracts could help automate various tasks (inspection, income/employment verification)”.

Adrian Zmudzinski
Adrian Zmudzinski
Adrian is passionate about technology and Information Technology (IT). Adrian specialized in the analysis of tokens, the blockchain technology, and cryptocurrencies. His interest in Bitcoin dates back to 2009 and it rapidly transformed into a more general interest of the still arising cryptocurrency industry. His analyses are concerned mostly by the technological potential underlying the analyzed token.