JPMorgan to launch dollar-euro FX settlements via Kinexys blockchain

JPMorgan is rolling out instant dollar-euro FX settlement on its Kinexys blockchain, with sterling set to follow pending regulatory clearance.

Banking giant JPMorgan Chase & Co. is set to bring foreign exchange settlements for dollar-euro transactions on its blockchain platform dubbed “Kinexys.”

According to a Bloomberg report on Nov. 6, the system — previously known as Onyx — will leverage JPM Coin, the bank’s digital token integrated into Kinexys. In mid-October 2023, crypto.news reported that JPM Coin, pegged to the U.S. dollar, reached the $1 billion mark in processed daily transactions.

Naveen Mallela, global co-head of Kinexys, says the bank wants to generate a “new revenue stream from FX spreads” with the blockchain platform. JPMorgan Chase launched Kinexys in 2020 in an effort to facilitate digital payments with JPM Coin, a tokenized version of the U.S. dollar.

Despite JPMorgan’s push in the blockchain space, institutional traders still remain cautious on the technology. As crypto.news earlier reported, a survey of more than 4,000 institutional traders conducted by the bank in early 2024 revealed that only 7% considered blockchain a promising asset for the next three years.