Korea’s largest trading firm POSCO International is the latest to select JP Morgan’s Kinexys Digital Payments for cross border transfers. It has signed a memorandum of understanding following a trial transaction last week using the blockchain-based bank accounts for a payment between Singapore and the US.

Kinexys Digital Payments enables large corporates to instantly move money around the world 24/7 in three currencies, USD, EUR and GBP. This sort of functionality can be especially important for goods traders as payment often needs to be made before cargo is unloaded. The ability to move money instantly between countries reduces the requirement to hold idle bank balances as buffers. Additionally, smart contracts allow companies to add flexible programmability for their payments.

POSCO International has 128 overseas branches in 51 countries and makes roughly 40,000 cross border payments annually. However, the company is also eyeing other payment methods using distributed ledger technology (DLT), including stablecoins.

Article continues …

Want the full story? Pro subscribers get complete articles, exclusive industry analysis, and early access to legislative updates that keep you ahead of the competition. Join the professionals who are choosing deeper insights over surface level news.

Image Copyright: POSCO International