JPMorgan has announced the launch of instant dollar-euro FX settlement on its Kinexys blockchain, with plans to include sterling once regulatory clearance is obtained.
The banking giant JPMorgan Chase & Co. is introducing foreign exchange settlements for dollar-euro transactions on its blockchain platform called “Kinexys.”
Reported by Bloomberg on Nov. 6, the system, previously referred to as Onyx, will utilize JPM Coin, the bank’s digital token that is integrated into Kinexys. In mid-October 2023, crypto.news reported that JPM Coin, which is pegged to the U.S. dollar, exceeded $1 billion in processed daily transactions.
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Naveen Mallela, global co-head of Kinexys, expressed that the bank aims to create a “new revenue stream from FX spreads” using the blockchain platform. JPMorgan Chase launched Kinexys in 2020 to enable digital payments with JPM Coin, a tokenized form of the U.S. dollar.
Despite JPMorgan’s advancements in the blockchain sector, institutional traders remain cautious about the technology. As reported by crypto.news, a survey conducted by the bank in early 2024 among over 4,000 institutional traders revealed that only 7% viewed blockchain as a promising asset for the next three years.
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