Kookmin Bank's Kinexys Blockchain Leap
KB Kookmin Bank Launches JPMorgan Kinexys Blockchain Trade Service for Global Payments
Anonymous
Key Points
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Kinexys includes a programmable payment function that can automate international payments and fund transfers 24 hours a day, year-round.
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Kinexys is JPMorgan's institution-only blockchain payment infrastructure used for trade-related cross-border payments by a domestic Korean bank.
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KB Kookmin Bank official said the service 'connects global digital payment infrastructure with domestic corporate banking services,' underscoring its strategic significance for Korea.
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The full remittance corridor expands to 10 countries, including India, Thailand, Qatar, Bahrain, and South Africa, in addition to the United States, Singapore, Saudi Arabia, and the United Arab Emirates.
South Korea's largest bank, KB Kookmin Bank, will launch a blockchain-powered cross-border payment service next month using JPMorgan's Kinexys network, according to Cointelegraph and Crypto Briefing. The bank becomes the first Korean financial institution to use Kinexys for trade payments, covering import and export transactions in USD across 10 countries.
Kinexys is JPMorgan's institutional blockchain payment infrastructure. It processes about $7 billion in daily transactions and has handled more than $4 trillion in cumulative volume, per Cointelegraph. The platform runs 24 hours a day, seven days a week, and links to SWIFT for near real-time overseas settlements.
First Korean Bank to Adopt Kinexys for Trade Payments
KB Kookmin Bank will offer the new service at its domestic branches and its Singapore office, SE Daily reported. At launch, it will support USD remittances to 10 countries: the United States, Singapore, Saudi Arabia, the United Arab Emirates, India, Thailand, Qatar, Bahrain, and South Africa.
The bank built the service on a memorandum of understanding with JPMorgan to improve cross-border remittances. A KB Kookmin official said the service "connects global digital payment infrastructure with domestic corporate banking services." The bank called this a key strategic move for Korea's corporate banking sector.
How Kinexys Cuts Settlement Times Across Time Zones
Traditional cross-border payments often take one to three business days to settle. Kinexys handles interbank USD settlements in near real-time, even across different time zones. Its 24/7 schedule means payments don't stop on weekends or holidays, unlike most legacy banking systems.
Kinexys also includes a programmable payment function. This lets banks automate fund transfers without manual steps. For import and export firms, that means faster cash flow and less waiting on overseas counterparties, according to Value The Markets.
KB Kookmin's Push Into Digital Finance
This is not KB Kookmin's first move into blockchain. The bank has previously issued a blockchain-denominated digital bond. It says it plans to keep expanding digital financial services as the global payments landscape shifts, per Crypto Briefing.
Value The Markets noted that KB Kookmin is positioning itself as a pioneer in applying institutional blockchain networks to everyday corporate banking in Korea. The bank did not disclose which companies will use the service at launch, but said it targets firms with active import and export operations.
JPMorgan's Kinexys Gains Ground With Global Banks
Kinexys is built for institutions only — it is not open to retail users. Its $4 trillion cumulative transaction total shows strong adoption among large financial players. KB Kookmin's entry adds a major Asian retail bank to its roster, TradingView reported.
JPMorgan launched Kinexys to solve the slow, expensive nature of traditional cross-border wires. With $7 billion moving through the platform each day on average, it has grown into one of the largest institutional blockchain payment networks in the world, according to Cointelegraph.
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