Mastercard and JPMorgan Team Up for Faster Blockchain Payments

Mastercard and JPMorgan are joining forces to make cross-border payments faster using blockchain. Their new partnership connects Mastercard’s Multi-Token Network (MTN) with JPMorgan’s Kinexys Digital Payments, allowing businesses to settle transactions seamlessly through a single system.

How the Integration Works

By linking MTN with Kinexys, payments can be processed more quickly, overcoming time zone differences and making everything more transparent. This integration allows for real-time transfers, improving how businesses handle cross-border payments.

Raj Dhamodharan from Mastercard explained that this partnership is part of their ongoing efforts to bring innovation to digital assets and payment systems.

Kinexys’ Growth and Future Plans

Kinexys started as Onyx in 2020, powered by JPM Coin—a digital currency backed by the US dollar. While JPM Coin initially raised concerns in the crypto world, it quickly became popular with financial institutions. By late 2023, daily transactions had reached $2 billion.

In November 2023, Kinexys rebranded from Onyx and expanded its capabilities to include euro-based payments. JPMorgan also plans to use Kinexys for foreign exchange (FX) settlements, starting with US dollars and euros.

Mastercard’s Progress with MTN

Mastercard began testing MTN in 2023 and ran its first live pilot in May 2024 with Standard Chartered Bank. This pilot tokenized carbon credits in Hong Kong. Additionally, MTN has tested central bank digital currencies (CBDCs) with the Reserve Bank of Australia.