JPMorgan’s Kinexys, Chainlink, Ondo Finance Demo Atomic DvP Settlement for Real-World Assets

Chainlink, JPMorgan’s blockchain unit Kinexys, and Ondo Finance have completed the first cross-chain Delivery versus Payment (DvP) transaction on Ondo Chain’s testnet, integrating traditional bank payment rails with tokenized asset markets.

First Cross-Chain DvP

The transaction, according to the release sent to Bitcoin.com News, settled Ondo Finance’s tokenized U.S. Treasuries Fund (OUSG) using JPMorgan’s permissioned Kinexys Digital Payments network, with Chainlink’s Runtime Environment orchestrating atomic cross-chain transfers. This marks the debut use case for Ondo Chain, a new layer one (L1) blockchain designed to scale institutional-grade real-world asset tokenization by merging public blockchain accessibility with permissioned-network security.

DvP settlements, which ensure simultaneous exchange of assets and payments, are prone to delays and risks in traditional finance due to fragmented systems. Blockchain-based solutions automate workflows, reduce counterparty risk, and enhance transparency. The partners estimate payment and settlement failures have cost markets over $914 billion in the past decade, underscoring the need for efficient alternatives.

Nelli Zaltsman, Kinexys’ Head of Platform Settlement Solutions, emphasized the collaboration’s role in bridging institutional payments with public blockchains. Chainlink co-founder Sergey Nazarov highlighted the transaction as a milestone in merging traditional and decentralized finance, while Ondo CEO Nathan Allman called it a “statement about the future of finance.”

Kinexys has processed over $1.5 trillion in notional value since launch, averaging $2 billion daily, with payment transactions growing tenfold year-over-year. The testnet success paves the way for advanced DvP use cases, aiming to address cross-border regulatory and liquidity challenges.

The collaboration signals the growing institutional adoption of blockchain infrastructure to modernize asset settlements, combining compliance, scalability, and interoperability across public and private networks.