Is crypto becoming too big for JPMorgan to ignore?

Source: Yellow Original Title: Is crypto becoming too big for JPMorgan to ignore?

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JPMorgan Chase & Co. is assessing a deep expansion into the cryptocurrency market.

JPMorgan Chase & Co. is considering plans to offer cryptocurrency trading services for institutional clients, marking a further shift among major global banks towards digital assets as regulatory conditions in the U.S. continue to evolve.

What happened

According to sources, Bloomberg reports that the bank's market division is assessing whether it can launch cryptocurrency-related products for large clients, such as spot trading and derivatives.

These discussions are still in the early stages, and any launch will depend on client demand, internal risk assessments, and the regulatory feasibility of specific products. JPMorgan declined to comment publicly on these plans.

This internal review comes after recent changes in the regulatory environment in the United States, rekindling institutional interest in digital assets.

Since the government updated its regulatory stance, relevant departments have promoted the appointment of regulatory personnel deemed more friendly to the cryptocurrency industry and have advanced new legislation centered around stablecoins.

Earlier this month, the Office of the Comptroller of the Currency clarified that U.S. banks can act as intermediaries in the cryptocurrency market, a move that alleviates long-standing regulatory uncertainty for large lending institutions.

For JPMorgan, shifting to cryptocurrency trading would be another step in its existing blockchain initiatives.

The bank has been active in tokenization and distributed ledger technology, including the recent organization of the issuance, distribution, and settlement of short-term bonds for a digital asset company on a certain public chain network.

The line also stated plans to allow institutional clients to use Bitcoin (BTC) and Ether (ETH) holdings as loan collateral.

Why is this important

This shift highlights a broader change in attitude on Wall Street, including JPMorgan CEO Jamie Dimon, who has historically criticized Bitcoin.

Although Dimon has not supported the asset, his recent comments suggest a more pragmatic stance, emphasizing customer choice rather than outright opposition.

JPMorgan is not an isolated case.

A certain international bank has recently launched Bitcoin and Ethereum spot trading services for its institutional clients through its UK operations.

In another country, a certain bank completed its first Bitcoin purchase through its own digital asset trading department.

Meanwhile, a global investment bank has been operating a cryptocurrency derivatives trading department for several years, and an asset management company has created a Bitcoin exchange-traded fund, currently managing approximately $68 billion in assets.

As the update of institutional momentum arrives, the price of Bitcoin continues to fluctuate.

This cryptocurrency has fallen about 29% since peaking over $126,000 in October, trading at around $90,130 at the time of writing.