In a major advancement, Marex has become the first clearing company to use JPMorgan's Kinexys blockchain platform to process payments for clients. This move, combined with the Brevan Howard Digital investment fund, demonstrates the growing acceptance of blockchain technology by major financial institutions.
24/7 payments and risk mitigation
The #Kinexys platform, previously known as JPM Coin, allows companies to make instant payments, 24/7, using digital deposit accounts. This significantly reduces payment risk, time, and costs for Marex and Brevan Howard Digital while maintaining a level of security comparable to traditional payment systems.
According to experts, traditional financial companies (TradFi) experimenting with blockchain infrastructure is a positive sign. Although the benefits may not be immediately clear, familiarizing themselves early and building expertise in this technology will be a key factor in helping businesses lead in the future.
JPMorgan's new advancement
The integration of #Marex into Kinexys is part of JPMorgan's broader strategy to promote programmable finance. This platform, operating on a permissioned ledger, helps address challenges related to liquidity and operational efficiency. With recent moves such as trading on public blockchain and collaboration with Coinbase, #JPMorgan is gradually asserting its pioneering role in integrating blockchain technology into the traditional financial system.