Kinexys by J.P. Morgan, the firm’s industry-leading blockchain business unit, has achieved a strategic milestone, connecting its permissioned blockchain network for payment settlement, Kinexys Digital Payments, to tokenized asset markets operating on public blockchains. This has been achieved through a collaboration with Chainlink and Ondo Finance and marks a notable expansion of the Kinexys platform’s capabilities.

The three firms executed a cross-chain Delivery versus Payment (DvP) test transaction involving the exchange of Ondo’s tokenized U.S. Treasuries (OUSG) and USD deposits at JPMorgan. The payment leg was settled using Kinexys Digital Payments’ infrastructure and synchronized settlement functionality; the asset leg utilized Ondo Chain’s testnet, a Layer 1 blockchain purpose-built for institutional-grade real-world assets; and Chainlink’s Cross-Chain Interoperability Protocol (CCIP) orchestrated the transaction across different blockchains.

The transaction demonstrated the ability of a fully on-chain, cross-chain settlement of tokenized assets and fiat value, executed with coordinated precision across networks. This kind of synchronized exchange of  the asset and payment legs of a trade, is a significant step toward scalable, secure market infrastructure. It also marks the first time Kinexys Digital Payments has been extended to settle transactions occurring beyond private or permissioned blockchains, highlighting the platform’s readiness as institutional interest in public infrastructure grows.

Traditionally, payment for settlement of asset transactions, such securities purchases or trades,  are burdened by legacy systems, fragmented processes, and manual interventions, introducing friction and risk. In the past decade, it is estimated that payment and settlement failures have cost market participants at least $914 billion+¹. By contrast, blockchain-based DvP enables automated, near real-time settlement that minimizes counterparty exposure and settlement risk.

Nelli Zaltsman, Head of Platform Settlement Solutions, Kinexys Digital Payments at Kinexys by J.P. Morgan, said, "Kinexys Digital Payments is designed to support J.P. Morgan's institutional clients by enhancing the current payment experience while also anticipating clients' evolving payments needs as they engage in transactions on emerging infrastructures, including public blockchain. By securely and thoughtfully connecting our institutional payments solution with both external public and private blockchain infrastructures seamlessly, we can offer our clients and the broader financial ecosystem a wider range of benefits and scalable solutions for settling transactions. The demonstrated cross-chain solution is a testament to what can be achieved through strong collaboration across diverse segments of the Web3 ecosystem, and we are pleased to have worked with Ondo and Chainlink to bring this to life as the first transaction on Ondo Chain testnet.”

By settling real-world assets across both public and private chains, this collaboration moves  the availability of asset markets on public blockchain closer to institutional reality. It’s a breakthrough that signals how the infrastructure underpinning traditional finance and decentralized finance can increasingly work together—safely, securely, and at scale. As demand grows for real-time settlement at institutional scale, and on-chain access to yield-generating assets, this milestone offers a glimpse into a future where tokenized assets and cross-chain workflows become foundational to modern financial markets.

A division of J.P. Morgan Payments, Kinexys by J.P. Morgan has exceeded $1.5 trillion in notional value² to date, processing an average of more than $2 billion daily in transaction volume³. Payment transactions on the platform have grown by 10x year-over-year⁴, with clients now spanning five continents. The business’ four key areas, Kinexys Digital Payments, Kinexys Digital Assets, Kinexys Liink and Kinexys Labs, are transforming how information, money and assets move around the world, helping clients harness the speed and efficiency enabled by blockchain technology.

Check out press coverage of the news in Fortune and CNBC.