South Korea's largest bank introduces cross-border payments to Kinexys

Minmin Bank of Korea will launch blockchain-based cross-border payment services in August 2026

Overview

Minmin Bank of Korea plans to launch blockchain-based cross-border payment services for import and export companies in August 2026. The bank will be the first to launch U.S. dollar payments based on the Kinexys platform in ten countries. This service connects blockchain settlement with the SWIFT system and supports corporate transfers outside regular bank hours. Komin Bank of Korea has also become the first financial institution in South Korea to use the Kinexys platform to provide corporate import and export payment services.

Service details

The South Korean bank will use JPMorgan's Kinexys platform to support U.S. dollar payments in ten countries. The service interfaces Kinexys with existing SWIFT payment systems, supporting near-real-time transfers and round-the-clock foreign exchange settlement. Customers can access the service through Kookmin Bank's local branch and Singapore branch.

South Korea's first bank to use Kinexys

Komin Bank of Korea announced the service on July 26, having previously signed an agreement with JPMorgan Chase on blockchain remittance services. According to Yonhap News Agency, the bank will become the first financial institution in South Korea to use the Kinexys platform to provide payment services to import and export companies. The core of the agreement is to provide faster cross-border remittance services to companies engaged in overseas trade, supplier payments and foreign exchange settlement needs. In the first phase, priority will be given to US dollar transfers, supported by markets including South Korea, the United States, Singapore, Saudi Arabia, India, Thailand, Qatar, United Arab Emirates, Bahrain and South Africa. The bank has not yet announced customer fees, transaction limits and a specific launch date for August.

Kinexys adds blockchain settlement capabilities to existing banking systems

JPMorgan describes Kinexys as a bank-led blockchain platform for payments, asset tokenization and near-real-time settlement. The network operates around the clock, allowing approved institutions to complete fund transfers without waiting for traditional banks 'deadlines. The platform was previously named Onyx. Komin Bank's service will not replace SWIFT, but will instead connect Kinexys with existing messaging systems and agent banking systems. This model allows banks to leverage blockchain to achieve faster funds flow and settlement while retaining existing compliance checks, account structures and foreign exchange processing processes.

JPMorgan Chase has expanded Kinexys in multiple markets. In June, the bank added new blockchain deposit accounts for Australian dollars, Hong Kong dollars, Japanese yen, RMB and Singapore dollars. The bank said the expansion allows the platform to support eight currencies and enables round-the-clock payments, programmable treasury management and on-chain foreign exchange trading. Other banks have also used the platform for corporate payments. The National Bank of Qatar will adopt Kinexys for U.S. dollar payments in 2025, a service that allows companies to transfer money outside regular banking hours and shortens some settlement times to a few minutes.

Kookmin Bank expands its institutional blockchain business

The launch of the payment service is one of several blockchain projects of Kookmin Bank Financial Group. In June, Komin Bank of Korea completed a US$100 million digital bond issuance through HSBC's Orion platform. This two-year US dollar bond was settled within three working days, compared with five working days for the previous process. Komin Bank of Korea also participated in South Korea's tokenized deposit project. South Korea's Ministry of Economy and Finance has selected nine banks to participate in a project to connect tokenized deposits with the government spending system. Planned testing will use programmable conditions and public payment sharing records. At the same time, Komin Bank Credit Card Company is developing a payment system that connects stablecoins with traditional credit cards. The project uses Avalanche and OpenAsset infrastructure and aims to allow users to pay from stablecoin wallets while retaining the standard credit card settlement process for merchants.

Large banks apply blockchain to real-time payment services

In the S & P Global Market Intelligence 2026 Asia-Pacific Banking Assessment, Komin Bank Financial Group ranked South Korea's largest banks by asset size. The group ranks 28th in the Asia-Pacific region with assets of approximately US$552.76 billion. This scale provides the bank with a mature corporate network for introducing new services. The launch also promotes the wider use of banks in tokenized deposits and blockchain settlements. In May, JPMorgan Chase, MasterCard, Ripple and Ondo Finance tested cross-border bond redemptions. Kinexys processes payment orders and dollar settlements, while tokenized assets are transferred on the XRP ledger. JPMorgan has also partnered with companies such as Axis Bank, Mitsubishi Corporation and EBANX to use Kinexys. In July, EBANX said the platform had shortened some internal cross-border transfer times from more than 24 hours to a few minutes by eliminating local deadline limits.

For Kookmin Bank's corporate customers, the main changes will be getting longer operating times and faster settlements on specific trade channels. The bank has not yet said whether it will add more currencies or countries after the first phase. Its August launch will demonstrate how the service works in conjunction with existing SWIFT processes in commercial payments.