Mitsubishi Corporation plans to use a blockchain-based payment system developed by JPMorgan Chase for fund transfers across its global operations. This initiative exemplifies the increased adoption of blockchain technology in traditional finance.
The payment system is part of JPMorgan’s Kinexys network, which facilitates near-instant fund transfers and operates continuously while reducing reliance on conventional banking methods. JPMorgan aims to scale Kinexys to $10 billion in daily transactions, up from its current average of $7 billion. Since its launch in 2020, Kinexys has processed over $3 trillion in cumulative volume, indicating strong interest in blockchain-based settlement systems.
Mitsubishi Corporation is among Japan’s largest trading and industrial firms, with significant operations in energy, manufacturing, and logistics. In the previous year, the company produced more than 883,000 vehicles.
Kinexys has also secured other prominent clients, such as Qatar National Bank (QNB) Group. QNB announced in September its intention to use Kinexys for corporate payments, with executive Kamel Moris stating the platform can “guarantee payments as fast as two minutes.”
JPMorgan, despite CEO Jamie Dimon’s skepticism towards cryptocurrencies, continues to expand its blockchain capabilities, demonstrating this with Mitsubishi’s adoption of Kinexys. The platform is not limited to payment processing; JPMorgan is also advancing a tokenization platform named Kinexys Fund Flow, targeting asset classes like private credit and real estate, with a rollout expected later this year.
Other institutions are also engaging in tokenization efforts. BlackRock has introduced tokenized funds, and Franklin Templeton is operating a blockchain-based money market fund. Additionally, Siemens has issued digital bonds on blockchain, reflecting a growing institutional interest in tokenization.
