Qatar National Bank Group (QNB), one of the largest banks in the Middle East, has implemented JPMorgan’s blockchain platform, Kinexys, to handle corporate payments in Qatar, as reported by Bloomberg on Monday.
This change represents a significant move away from traditional banking systems, which restrict cross-border payments to weekdays and can take days to finalize.
In a Bloomberg interview, Kamel Moris, QNB’s executive vice president of transactional banking, called the advancement a “treasurer’s dream,” highlighting the 24/7 service availability offered by the blockchain. “Payments can be guaranteed in as little as two minutes,” he noted.
Cointelegraph attempted to contact QNB for further details but had not received a reply by the time of publication.
Kinexys processes $3 billion in daily transactions
The announcement stated that Kinexys facilitates approximately $3 billion in transactions every day. While this figure is notable, it pales in comparison to JPMorgan’s handling of around $10 trillion in daily payments.
The platform relies on a permissioned blockchain system that allows clients to transfer funds deposited with JP Morgan in real-time.
Unlike permissionless networks, a permissioned blockchain includes an access control layer, providing an additional security feature that enables participants to perform only permitted actions.
In June, Kinexys partnered with Chainlink and Ondo Finance to execute a cross-chain delivery versus payment (DvP) settlement between a public testnet and a permissioned payment network.
The trial involved Kinexys Digital Payments’ permissioned network and Ondo Chain’s testnet, emphasizing real-world asset (RWA) tokenization.
Related: China opens Shanghai digital yuan hub for cross-border, blockchain services
JPMorgan CEO not “worried” about stablecoins
While JPMorgan’s Kinexys is processing US dollar payments, CEO Jamie Dimon remarked in a CNBC interview on Sept. 23 that he is “not particularly worried” about stablecoins, viewing them as non-threatening to the bank’s business model.
Nonetheless, Dimon emphasized the importance for bank executives to stay informed and understand the evolution of this sector, especially given regulatory changes and industry growth.
Data from RWA.xyz indicated that stablecoin net inflows surged by over 320% in the third quarter, spearheaded by Tether’s USDT and Circle’s USDC.
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