Axis Bank, India’s leading private bank, has become the country’s first financial institution to provide a 24-hour programmable US dollar clearing service in close proximity to business clients. This is possible through a partnership with JPMorgan’s (NASDAQ: JPM) Kinexys Digital Payments (KDP), a division of Kinexys, the financial services company said in a statement.
Kinexys Digital Payments is supported by a scalable network of blockchain deposit accounts that directly drive and automate payments between accounts. Since its launch, the Kinexys platform has driven transaction volumes of over $1.5 trillion. On average, daily transactions are over $2 billion, with the platform growing significantly over the previous year, the statement said.
Through collaboration with KDP, Axis Bank now offers business clients the flexibility to access 24-hour cross-border payment services. Additionally, the integration of advanced blockchain technology into the bank’s infrastructure will improve payment processing reliability. This innovation paves the way for new and creative enterprise applications, including programmable cash concentrations across multiple banks, providing businesses with greater control and efficiency in managing their finances.
“We’re committed to providing a range of services to our customers,” said Naveen Mallea, global co-head of Kinexys at JPMorgan. “The work at Axis Bank is the next step in creating a growing industry-wide blockchain-based financial ecosystem with interoperability between central bank digital currencies, Stablecoins and other digital currency solutions.”
KDP introduced a blockchain-based deposit account in 2019. This is currently widely adopted by several companies and financial institutions around the world. They are seamless across the boundaries, allowing on-demand 24/7 multi-currency payments.
“We are excited to work with JP Morgan’s Kinexys to provide the first one in the market. The programmable USD clearing feature, 24/7, 7 days a year, 24/7, will be able to deliver the capabilities of our banking clients for cross-border banking clients from Gift City (Gujarat International Financial Technology City).”
“In our transactional banking business at Axis Bank, we have always focused on innovating innovative, positive payments and digital capabilities to help our clients manage their financial functions optimally.
According to a December 2024 GlobalData report, Axis Bank is committed to a significant number of resources to new technologies as part of its digital transformation strategy. Lenders’ focus includes artificial intelligence (AI), big data, blockchain, cloud computing and payment solutions. In 2024, the bank’s annual information and communications technology (ICT) expenditure reached $290 million, with a substantial portion allocated to software purchased from various vendors, ICT services, networking and communications solutions.
India’s Economic Survey 2024-2025 highlights the rapid advances in technology, particularly in areas such as AI, blockchain and data analytics, creating new opportunities to revolutionize traditional financial services and processes.
AI and Large Language Models (LLM) enhance customer service through interactive chatbots and personalized experiences, while blockchain technology ensures secure, transparent, and efficient transactions. At the same time, changing consumer expectations stemming from increasing demand for digitally native and personalized seamless and convenient financial services, urges both established companies and new entrants to innovate to stay competitive.
“For the past 15 months, we have basically seen a big wave towards AI consumption. That’s a huge difference, and the big language models are clearly very different AI. I told the Financial Times in March on Axis Bank.
“Quantum is planning to introduce insights into transactions that are far better than we’ve seen in the past. We already have some conceptual evidence.
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