Mastercard and JPMorgan Join Forces to Revolutionize Cross-Border Payments with Blockchain Technology
In a significant move for the fintech industry, Mastercard and JPMorgan have integrated their blockchain-based payment solutions to enhance the efficiency and speed of business-to-business (B2B) cross-border transactions. The collaboration connects Mastercard’s Multi-Token Network (MTN) with JPMorgan’s Kinexys Digital Payments, offering mutual customers a seamless settlement process through a single application programming interface (API).
Mastercard’s MTN is a comprehensive platform that brings together a suite of API-enabled, blockchain-based tools designed to support innovative business models. Kinexys Digital Payments, offered through JPMorgan’s blockchain business unit, provides a next-generation payment rail that facilitates real-time value transfers using commercial bank money. This integration aims to address long-standing challenges in cross-border payments, such as delays, time zone discrepancies, and limited transparency.
Naveen Mallela, Co-Head of Kinexys by JPMorgan, emphasized the transformative potential of this collaboration. “At Kinexys, we believe our solutions can play a pivotal role in enhancing the ecosystem for digital global commerce and digital assets,” Mallela said. “The integration with Mastercard’s MTN will significantly improve the cross-border payment experience by providing greater transparency and faster settlement, while reducing time zone friction.”
Raj Dhamodharan, Executive Vice President of Blockchain and Digital Assets at Mastercard, echoed this sentiment. “For years, both Mastercard and Kinexys by JPMorgan have been committed to innovating for the future of digital asset and commercial infrastructure,” Dhamodharan stated. “By combining the strengths of Mastercard’s MTN with Kinexys Digital Payments, we are unlocking greater speed and settlement capabilities for the entire value chain. This integration opens up new use cases and leverages the innovations of both organizations.”
Kinexys Digital Payments, formerly known as Onyx, was launched in 2020 and has since become a cornerstone of JPMorgan’s blockchain initiatives. The platform, which initially used the dollar-pegged JPM Coin, has expanded to support euro-denominated payments and now processes an average of $2 billion in daily transactions. The rebranding to Kinexys in November 2024 coincided with plans to integrate on-chain foreign exchange capabilities, further enhancing its multicurrency clearing and settlement processes.
Mastercard’s MTN, first announced in mid-2023, has also seen significant developments. The platform conducted its first live transaction in May 2024, tokenizing carbon credits within the Hong Kong Monetary Authority Fintech Supervisory Sandbox. This pilot project demonstrated MTN’s capability to handle complex tokenized assets and deposits, paving the way for broader adoption.
The integration of MTN with Kinexys Digital Payments represents a major step forward in the modernization of payment systems. By leveraging blockchain technology, the partnership aims to deliver faster, more cost-effective, and transparent solutions for businesses engaged in cross-border transactions. This collaboration underscores the growing trend of financial institutions embracing blockchain to innovate and streamline their services, setting a new standard for digital commerce.
