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KB Kookmin to Launch Kinexys-Based Dollar Trade Payments in August

The service will tie tokenized bank deposit accounts to SWIFT to enable near-real-time, 24/7 U.S. dollar settlement for corporate import and export payments.

Overview

  • KB Kookmin announced on July 26 that it will roll out a corporate cross-border U.S. dollar payment service in August built on J.P. Morgan’s permissioned Kinexys blockchain covering ten countries.
  • The bank will be the first South Korean institution to use Kinexys for live trade payments, and the system will run on tokenized deposit accounts without any public crypto tokens.
  • KB Kookmin plans to link blockchain settlement with existing SWIFT messaging and let clients access the service through its Korean branches and its Singapore office.
  • J.P. Morgan says Kinexys has handled more than $4 trillion in cumulative volume with about $7 billion in average daily flows, and other adopters have cut some settlement times from days to minutes, lowering capital tied up in transit.
  • The launch follows KB’s recent blockchain work, including a $100 million digital bond and participation in a government tokenized-deposit pilot, and key details such as fees, limits and the exact August start date remain undisclosed.