Jay Z Squashed Beef with Jim Jones Mob Style

Jim Jones and Jay Z may have called a truce in their 13 year war -- now that Jim's signed with Roc Nation -- but they still haven't met face-to-face.

We talked to Jim Wednesday about how he and Jay were able to settle their differences ... especially after talking so much smack on each other for so long. His answer was mature and brutally honest because he admits he's only been dealing with the Don's capos up to now.

But he also says there's a good chance the ex-rivals will come together soon where it really counts -- in the studio. If you know how nasty this beef has been, Jim's reaction here is almost unbelievable.