JPMorgan Files New Patent for Virtual Receipts on Distributed System

JPMorgan Chase & Co has filed a new patent for a system that leverages blockchain for the management of virtual receipts backed by assets or bonds, according to a US Patent and Trademark Office patent filing published July 19.

The new patent, titled "Systems and methods for management of asset or obligation-backed virtual receipts on a distributed system," includes a new form of a public blockchain-based method for the management of virtual receipts, which can take the form of tokens.

The document describes Virtual Depositary Receipts, or "Virtual Receipts," as "Asset or obligation-backed electronic tokens." The new method would use distributed ledger technology such as blockchain for linking "An underlying asset or obligation with its digital representation on a distributed system for the purposes of ownership tracking and transfer".

Previously, JPMorgan CEO Jamie Dimon had said that cryptocurrencies are "Worth nothing," also calling Bitcoin a bubble that investors "Will pay the price for one day."

JPMorgan had already filed a patent this spring for intra- and inter-bank settlements based on blockchain technology, showing their ability to be a strong supporter of blockchain and a strong opponent of the validity and legitimacy of cryptocurrencies at the same time.