Corporate payments company Corpay has introduced a new feature in its Cross-Border business. This feature now supports client foreign exchange (FX) conversions using JP Morgan’s Kinexys Digital Payments blockchain.
Enhancing Payment Solutions for Businesses and Consumers
Corpay specializes in simplifying and controlling payments for businesses and consumers. Its payment solutions help manage various types of expenses, including vehicle-related and travel expenses, as well as payables such as vendor payments.
By partnering with JP Morgan and integrating Kinexys Digital Payments, Corpay aims to better serve its customer needs by offering products that align with their preferences and demands.
Improving Cross-Border Transactions for Treasurers
Kinexys Digital Payments functions as a payment rail enabling near real-time value transfer, leveraging commercial bank money provided through Kinexys by JP Morgan. Since its launch, the Kinexys platform has processed over USD 1.5 trillion in notional value and seen significant growth in transactions year-over-year.
Through this integration, Corpay Cross-Border can extend trading hours for its global clients and provide more efficient settlement compared to traditional foreign exchange (FX) rails without substantial liquidity lockup.
An example from Corpay shows that a UK-based client received USD, booked an FX trade to convert it into GBP, and paid the amount into their UK account after business hours. The transaction settled within minutes, allowing the client to receive GBP via the UK Faster Payments network.
Representatives from Corpay highlighted that this move offers benefits for both internal Treasury liquidity usage and client experience. Clients can now benefit from extended trading hours and faster settlement times. Additionally, JP Morgan’s technology reduces settlement risk and times between counterparties.
Moving forward, JP Morgan plans to support Corpay and its clients in leveraging blockchain technology for cross-border and cross-currency transactions. This collaboration aims to simplify the FX market, enabling new business flows and assisting treasurers in optimizing their operations and improving working capital management.
