JPMorgan's Kinexys Launches Instant Dollar-Euro Blockchain Settlements

JPMorgan has launched a major update to its blockchain platform, now called Kinexys, which integrates digital payments with its foreign exchange (FX) services, starting with USD-EUR settlements. This marks an important step for Kinexys in the realm of digital cross-border payments, positioning the platform as a significant player in global blockchain-based financial services.

Announced by Kinexys CEO Umar Farooq at the Singapore Fintech Festival, the rebranded platform will unify all of JPMorgan’s blockchain operations under the Kinexys name, covering information, money, and asset management. Initially focused on USD and EUR transactions, Kinexys plans to support additional currencies in the future, enabling near-instant FX settlements that could minimize risks and speed up trades.

Since its inception, Kinexys (formerly Onyx) has handled over $1.5 trillion in transactions, averaging $2 billion daily. The platform’s impressive growth reflects its role in facilitating seamless global transactions around the clock, including outside standard banking hours. In a press release, Kinexys announced upcoming features such as on-chain privacy, identity verification, and composability, enhancing the platform’s functionality for secure, flexible digital payments.

Kinexys isn’t limited to FX transactions; it also supports a range of financial institutions, corporations, and FinTechs. By October 2023, the platform had reached a milestone of $1 billion in daily transactions through JPM Coin, now part of Kinexys Digital Payments.

Following the announcement, JPMorgan released a whitepaper demonstrating how blockchain could improve privacy and identity features within financial networks. This development builds on a series of blockchain innovations by JPMorgan, which in May partnered with Mastercard, Visa, and Citigroup to create the Regulated Settlement Network (RSN). This collaboration tested distributed ledger solutions for integrating commercial bank funds with central bank money and securities, supported by the New York Federal Reserve’s Innovation Center.

In another move underscoring blockchain’s potential, Fidelity International joined JPMorgan’s tokenized network in June, illustrating the growing adoption of blockchain technology in real-world finance.