The amount of the investment, along with specific terms of the deal, remain undisclosed.
“We’re excited to support Icon with this strategic investment as they look to continually build a simplified, collaborative payments ecosystem, driving emerging payments rails and innovation,” said Sara Castelhano, EMEA Head of Payments, Digital, and Solutions at JP Morgan Wholesale Payments.
As part of today’s deal, Icon has added Castelhano, to its Board of Advisors.
Icon will use the funds to expand development of its Instant Payments Framework technology, a collaborative, open source payments platform that helps clients process instant payments.
To facilitate these instant payments for U.S. clients, Icon has teamed up with The Clearing House to offer an accelerated route to accessing The Clearing House’s (TCH) real-time payments system. The company has also partnered with Featurespace to facilitate integration and block fraud attacks at scale and in real time.
“We will directly benefit from the support, scale and insight of a global banking leader and one of the most visionary technology companies in the world, while retaining our flexibility and independence,” the company said in a blog post. “We can now accelerate our strategic roadmap, invest more in our technology and team, and expand our geographic reach.”
The investment comes at a pivotal time in the U.S. payments scene. The U.S. Federal Reserve is lagging behind the rest of the globe in launching a real-time payments and settlement service, anticipating a delay until 2024. As the current speed of payments fails to meet consumer expectations, which have evolved to demand the delivery of everything from messages to groceries in real time, private players are coming to the market with their own solutions.