JPMorgan's launch of its "deposit token" marks a brilliant strategic move. Here's why: Yesterday, 2 major events coincided: 👉 The US Senate passed the "Genius Act", establishing a regulatory framework for stablecoins (still pending House approval) 👉 JPMorgan announced "JPMD" - the first deposit token issued by a bank on a public blockchain (@base's blockchain) This strategic brilliance lies in 2 key aspects: The Genius Act prohibits yield distribution to clients via stablecoins. However, deposit tokens face no such restrictions! 🔴 Important distinction - deposit tokens ≠ stablecoins: Deposit token: bank-issued token backed by an existing bank account Stablecoin: token backed by external reserves (cash, T-Bills), typically issued by subsidiaries (like SG Forge for @SocieteGenerale) or third parties like @circle ($USDC) and @Tether_to ($USDT). JPMorgan has effectively created a dual-purpose onchain tool: enabling both payments and legal direct yield distribution to clients' onchain bank accounts. A masterful move indeed. This is especially significant given that, unlike in France, bank accounts in the US and several European countries like Germany already offer interest. Has JPMorgan gained an insurmountable advantage? Not exactly - other banks can follow suit. However, JPMD's arrival signals a new era in financial innovation, encompassing both stablecoins and deposit tokens. Blockchain technology is enabling banks to develop novel instruments, business models, and use cases. The key question now: How will other banks respond? Will they embrace deposit tokens, stick with stablecoin projects, or pursue both paths? In Europe, a crucial question emerges: Will current regulations support similar innovation. European players take note: the pace of change is accelerating dramatically, and the time to act is now! We'll be watching these developments closely at @TheBigWhale_!