JPMorgan Chase to accept Bitcoin ETF as a loan guarantee in a major cryptography change

Quick overview

JPMorgan Chase, the largest bank in the United States by assets, is preparing to allow customers to use negotiated Bitcoin funds as a guarantee for loans. This is a big departure for the bank with regard to digital assets.

Bloomberg says that the bank would soon start to guarantee Ishares Bitcoin Trust from BlackRock. With $ 70.1 billion in net assets, Ibit is the largest American ETF Bitcoin. It holds more than half of the total of $ 128.13 billion held by all the FNB bitcoin of us.

The change of policy goes beyond the simple management of guarantees. By determining how much money a customer has and how much he can borrow, JPMorgan will now examine his cryptocurrency participations as well as their stocks and their real estate. This is a change compared to the previous method of the money loan bank according to each individual situation.

The decision applies to all the retail and institutional customers of JPMorgan in the world. This puts the bank in a good position to take advantage of the growing demand for digital asset integration institutions. JPMorgan does not currently offer childcare or execution services for ETF Crypto, but this loan policy shows that the bank knows that regulated crypto exposure is increasingly common.

This change shows how the relationship of the banking industry with Bitcoin changes. The new government has made a big change in the rules, and the federal reserve has ceased to tell the banks not to get involved in cryptographic activity. The currency controller’s office said in May that banks can now take care of the cryptographic assets of customers who are held.

This action also shows a great change in the public opinion of the CEO of JPMorgan, Jamie Dimon, on Bitcoin. Dimon said in May that the bank soon allowed customers to buy Bitcoin directly, even if it was very clear about its doubts about digital currency. During the company’s investor day, Dimon said: “I don’t think we should smoke, but I defend your right to smoke.” He made a comparison with cryptographic investment. “I support your right to buy Bitcoin.”

JPMorgan is one of the many major banks that are embarking on digital assets. Morgan Stanley has worked to add cryptographic trading to its commercial platform E *. Standard Chartered, on the other hand, began to offer digital asset trading services via a partnership with Falconx. The trend shows that more and more institutions are starting to see cryptocurrencies as real investment assets.

The time has come because the cryptography market collects speed again. The United States FNB Bitcoin FNB, which was approved in January 2024, are now one of the most successful ETF launches in the history of the United States, with more than $ 128 billion in management assets. These ETFs experienced $ 378 million in entries on Tuesday, ending a three -day outing sequence.

JPMorgan’s plans for the crypto go beyond this last disclosure. In 2020, the bank published JPM Coin, a stablecoin fixed to the dollar. In 2024, he declared that he had actions of different ETF Bitcoin. The organization has slowly improved its skills in digital active ingredients while paying attention to the unstable bitcoin market.

This change in policy puts JPMorgan in a better position to help customers who wish to invest in digital assets while following the risk management rules and standards that are expected of traditional banks. While cryptocurrency becomes more widely accepted, JPMorgan’s action can lead other large banks to do the same, which could speed up the process of integrating digital assets into the wider financial system.