JPMorgan’s Kinexys Doubles Down on Digital Payments Through Canton Network Alliance

Wall Street's sleeping giant just woke up—and it's betting big on blockchain.

JPMorgan's digital asset platform, Kinexys, just inked a major partnership with the Canton Network, signaling a seismic shift in how institutional money moves. This isn't about crypto speculation; it's about rebuilding the plumbing of global finance.

The Institutional On-Ramp Accelerates

Forget trading memecoins. Kinexys is building the highway for tokenized securities, funds, and real-world assets. The Canton Network provides the interoperable rails—a decentralized infrastructure where assets and applications can work together across private, permissioned blockchains. It's the antithesis of the wild west; it's finance with guardrails.

Why This Changes the Game

This move bypasses the slow, costly correspondent banking system. Imagine settling a multi-million dollar securities transaction in minutes, not days, with full transparency. That's the promise. JPMorgan isn't just dipping a toe—it's deploying its balance sheet and client network to validate an entire ecosystem. When the world's largest bank by market cap leans in, others follow. It's the ultimate signal that digital asset infrastructure is graduating from pilot to production.

The Cynical Take

Of course, Wall Street loves a system it can control. Building a 'permissioned' network lets the old guard capture the efficiency of blockchain while neatly fencing out the decentralization that threatened their monopoly in the first place—a masterclass in co-opting disruption.

The bottom line? The race to tokenize everything just hit hyperdrive. The institutions are here, and they're building the future on their own terms.

Regulated Digital Cash for Institutions

JPM Coin is the first bank-issued U.S. dollar–denominated deposit token, providing institutional clients with a digital representation of U.S. dollar deposits held at JPMorgan.

Unlike stablecoins issued by non-bank entities, JPM Coin represents a direct claim on bank deposits, combining traditional banking safeguards with blockchain-based settlement.

By issuing JPM Coin natively on Canton, institutions operating within the network will be able to move digital cash near-instantly across markets, supporting payments, settlement, and liquidity management within a regulated framework.

The integration is designed to appeal to both digitally native firms and traditional financial institutions seeking to modernize payment infrastructure while maintaining trust and regulatory oversight.

Bridging Traditional Finance and Blockchain Infrastructure

Executives from both sides framed the partnership as a foundational step toward interoperable digital money. Yuval Rooz co-founder and CEO of Digital Asset, said the collaboration brings the concept of regulated digital cash “to the speed of markets,” helping modernize existing financial rails.

Naveen Mallela, global co-head of Kinexys by J.P. Morgan explains that JPM Coin combines the security of bank-issued deposits with the continuous availability of blockchain-based transactions.

Mallela added that bringing JPM Coin onto Canton has the potential to unlock liquidity and improve capital efficiency across financial markets.

A Phased Rollout Through 2026

The integration will follow a phased approach throughout 2026. Initial efforts will focus on establishing the technical and commercial foundations required to support native issuance, transfer, and near-instant redemption of JPM Coin on Canton. Once live participating institutions will be able to use JPM Coin directly within the Canton ecosystem.

Beyond JPM Coin, the partners will explore integrating additional Kinexys Digital Payments products, including JPMorgan’s Blockchain Deposit Accounts.

Expanding the range of bank-backed digital payment instruments available on Canton could further enhance its role as a hub for synchronized, cross-market financial activity.

JPMorgan to Launch Tokenized Money-Market Fund on Ethereum

In December reports emerged JPMorgan Chase’s $4 trillion asset-management division is launching its first tokenized money-market fund on the ethereum blockchain.

The bank will initially seed the vehicle with $100 million of its own capital before opening it to external investors. The private fund called the My OnChain Net Yield Fund or “MONY” is built on JPMorgan’s in-house tokenization platform, Kinexys Digital Assets.