Mastercard and JPMorgan Link Up to Bring Foreign Exchange on the Blockchain

Mastercard (MA) has connected its blockchain-based system for shifting tokenized assets, the Multi-Token Network (MTN), with JPMorgan’s (JPM)

Mastercard (NYSE:MA) has connected its blockchain-based system for shifting tokenized assets with the recently rebranded digital assets business of JPMorgan (NYSE:JPM).

The collaboration is to enhance B2B cross border payments, the companies said in a press release on Thursday, “providing greater transparency and faster settlement as well as reducing time zone friction.”

The payments giant invited a number of banks onto its Multi-Token Network when the platform emerged in mid-2023. The aim was to test out tokenized bank deposits, the use of stablecoins and central bank digital currencies (CBDC). Mastercard’s token network is working specifically with the JPMorgan’s Kinexys Digital Payments, which was formerly known as JPM Coin.

Tokenized foreign exchange is an attractive subset of the blockchain-based real world assets trend now firmly embraced by traditional finance, because it offers a near-real time, always-on way to avoid cross border gaps and pain points.

The rebranding of JPM Coin to Kinex("" +

"s Digital Payments was accompanied by a promise to introduce tokenized U.S. dollar and euro FX by as early as the first quarter of 2025, with plans to then expand to other currencies. Other efforts to tokenize FX payments include the Monetary Authority of Singapore’s Project Guardian, of which JPMorgan is a participant.

The firms said in a joint statement that by integrating Mastercard MTN's connectivity with Kinexys Digital Payments, mutual customers of MTN and Kinexys will be able to settle B2B transactions through a single API.

“At Kinexys, we believe our solutions can play a transformative role in the ecosystem for digital global commerce and digital assets, where the value proposition of commercial transaction venues is enhanced by the availability of commercial bank payment rails that can natively integrate with any digital marketplace or platform,” said Naveen Mallela, co-head of Kinexys by J.P. Morgan in a statement.

“By bringing together the power and connectivity of Mastercard’s MTN with Kinexys Digital Payments, we are unlocking greater speed and settlement capabilities for the entire value chain. We are excited about this integration and the new use cases it will bring to life, leveraging the strengths and innovations of both organizations,” said Raj Dhamodharan, executive vice president, Blockchain and Digital Assets at Mastercard in a statement.