Logistics giant FedEx adopts JPMorgan blockchain.
Global logistics giant FedEx is collaborating with financial powerhouse JPMorgan to introduce supply chain finance (SCF) and blockchain payment solutions, fundamentally transforming its global liquidity management.
JPMorgan announced at the end of July this year that FedEx is adopting the supply chain finance solution jointly launched by J.P. Morgan Payments and Oracle.
By integrating FedEx's express services into Oracle's cloud ERP system, suppliers can choose to receive payments after extended payment terms or through JPMorgan payments, obtaining funds earlier based on FedEx's strong credit rating.
Blockchain combined with Notional Pooling enables seamless transfers around the clock.
A major highlight of this collaboration is that FedEx has adopted JPMorgan's blockchain-based payment platform, Kinexys.
According to reports from Ledger Insights, FedEx will utilize Kinexys' digital payment capabilities in conjunction with Notional Pooling services to enhance its liquidity management in Europe and the Asia-Pacific region.
Notional Pooling is a financial tool that allows for virtual consolidation of account balances of subsidiaries within a group without the need for actual fund transfers, facilitating centralized cash management.
Kinexys' blockchain technology allows FedEx's finance department to conduct real-time fund dispatching between JPMorgan's global branches 24 hours a day, 7 days a week, in currencies such as USD, EUR, and GBP.
JPMorgan's blockchain deposit account network allows for pre-set conditions for automatic transfers, significantly enhancing the efficiency and accuracy of financial operations.
Image source: FedEx global logistics giant FedEx adopts JPMorgan blockchain.
FedEx enhances financial resilience and operational efficiency through blockchain.
Trampas Gunter, FedEx's Vice President of Corporate Development and Finance, stated that the collaboration with JPMorgan Payments and Oracle will fundamentally change working capital management.
He believes that FedEx's customized use of JPMorgan's supply chain finance and liquidity solutions strengthens its financial position and operational resilience, ultimately benefiting customers and shareholders.
Through integrated financial solutions, FedEx not only offers suppliers flexible cash flow options but also achieves real-time monitoring and efficient dispatching of global funds, providing a solid financial backbone for its large multinational logistics operations through the dual support of blockchain technology and Notional Pooling.
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'FedEx adopts JPMorgan blockchain! Will Notional Pooling revolutionize logistics management?' This article was first published in 'Crypto City'.
