Mastercard, JPMorgan Roll Out Blockchain-Powered Payment
Mastercard and JPMorgan announce the latest blockchain-powered breakthrough in cross-border payments. The collaboration merges Mastercard’s Multi-Token Network with JPMorgan’s Kinexys Digital Payments platform to facilitate speedier, more transparent transactions for enterprises. This program links both firms’ mutual customers via a single API integration and smooths the process of international settlements.
MTN, Kinexys Redefine Cross-Border Payments
The integration combines the strengths of MTN’s blockchain tools with Kinexys’ real-time payment rails, addressing common challenges in global financial transactions such as delays due to time zones. This yields a much more efficient, transparent, and timely settlement process.
According to Raj Dhamodharan, Mastercard’s EVP Blockchain and Digital Assets, this was an important partnership that would allow businesses to move faster and be more confident. Providing a frictionless and thus interoperable framework, the integration increases transparency while keeping all essential security features in check.
Kinexys: From Onyx to Blockchain Pioneer
First put forward in 2020, the Kinexys Digital Payments-earlier referred to as JPMorgan’s Onyx platform-was the first bank-led blockchain solution with the support of the JPM Coin. The platform picked up speed with financial institutions and corporate clients by providing a sound mechanism for cross-border payments.
Since its launch, Kinexys has significantly scaled. It included the processing of euro-denominated payments in 2023 and reached $2 billion per day by the end of 2024. The latest in this string of announcements is the integration of the platform with JPMorgan FX Services to enable on-chain foreign exchange settlements of USD and EUR, further sealing its position as a leader in blockchain finance.
Mastercard’s Blockchain Innovation
Mastercard has been actively working on the applications of blockchain for years. It introduced MTN in 2023 and tested its powers through various pilots. Most importantly, a proof-of-concept project with Standard Chartered Bank Hong Kong in 2024 demonstrated that MTN is very capable of tokenizing carbon credits within the Hong Kong Monetary Authority’s Fintech Supervisory Sandbox.
An earlier set of tests with the Reserve Bank of Australia had investigated the use of wrapped CBDCs in an effort to extend liquidity and cross-border capabilities. These tests have placed Mastercard in a leading position in terms of innovation in blockchain-enabled payments.
A Transformative Collaboration
The integration of MTN with Kinexys represents a huge step toward leveraging blockchain for financial systems across the world. Real-time settlements, increased transparency, and the support for more currencies-all in one-go should arguably mark how blockchain continues to revolutionize the world’s financial sectors.
