JP Morgan, Pound-based blockchain account launch…24-hour real-time payment expansion

JP Morgan's blockchain business division Kinexys has officially launched a Pound-based blockchain deposit account in the UK. This action, which expanded the supported currencies to include the Pound, following the Dollar and Euro, is considered an important milestone in JP Morgan's global strategy for building real-time payment infrastructure.

Through this newly introduced account, customers can utilize 24/7 foreign exchange trading and same-day settlements, including weekends, and freely move various currencies regardless of time differences. Particularly, with real-time remittances becoming possible between Pounds, Euros, and Dollars, the flexibility and speed of international fund management are expected to improve significantly.

Kinexys emphasized that this entry into the UK market is one of the first instances where a blockchain-based payment system has been applied to actual customer accounts. The initial account setup involved SwapAgent, a subsidiary of the London Stock Exchange Group, and global commodities firm Trafigura. SwapAgent is utilizing this account for the pilot operation of a digital payment system, while Trafigura is executing real-time payments among major financial hubs like London, New York, and Singapore.

Trafigura plans to expand into a programmable payment system in the future to manage liquidity and automate transactions. Kinexys is also providing an 'if-this-then-that' interface capable of condition-based automatic execution through its own platform, contributing to improving the financial management efficiency of companies.

Since its launch in 2019, Kinexys has surpassed $1.5 trillion in cumulative transaction processing volume, with over $2 billion in daily transactions. Although the total payment volume has increased more than tenfold in the past year, it still accounts for a small portion compared to JP Morgan's overall payment business's daily $10 trillion volume.

This launch of the Pound account is a case that demonstrates the real-world applicability of blockchain technology crossing the boundaries of traditional financial systems, indicating that large global banks are expanding into future-oriented payment infrastructure.