JPMorgan Chase & Co. has begun offering a blockchain-based deposit token to institutional clients, expanding its use of digital payment infrastructure as major financial institutions deepen their role in digital assets, Bloomberg reported.

The token, branded JPM Coin, mirrors US dollar deposits held at JPMorgan and operates on Base, a public blockchain developed in partnership with Coinbase Global Inc., according to Naveen Mallela, global co-head of the bank’s blockchain unit, Kinexys, who spoke to Bloomberg. The technology allows institutions to move funds instantly and continuously, breaking from the limitations of conventional banking hours.

The launch follows months of testing with partners including Mastercard, Coinbase, and trading firm B2C2. JPMorgan plans to make the token available to clients of its clients and expand to additional currencies and blockchains once regulatory approval is granted, Mallela said. The bank has already trademarked JPME for a future euro-denominated version.

Deposit tokens are digital representations of funds already held in bank accounts, offering a regulated, blockchain-based alternative to stablecoins. Unlike stablecoins—which are backed by reserves such as government securities—deposit tokens remain direct liabilities of the issuing bank and can potentially pay interest to holders. JPM Coin will also be accepted as collateral on Coinbase.

JPMorgan has been a frontrunner in developing blockchain payment systems. Its existing Kinexys Digital Payments Network currently facilitates daily transactions exceeding 3 billion US dollars—still small compared to the 10 trillion US dollars its conventional payments arm processes each day, but a sign of how blockchain-based settlement is gaining traction in mainstream finance.