JPMorgan Expands Services: Clients Can Now Use Bitcoin ETFs as Collateral
JPMorgan Chase & Co. has announced a significant move in the cryptocurrency space. The bank plans to allow its trading and wealth-management clients to use cryptocurrency-linked assets, including spot Bitcoin exchange-traded funds (ETFs), as collateral for loans. This decision comes as part of JPMorgan’s strategy to integrate digital assets more broadly into its offerings.
Initially, the bank will start with BlackRock’s iShares Bitcoin Trust (IBIT) as collateral, with plans to include additional ETFs over time. This policy change will apply globally to all client segments, ranging from individual retail accounts to institutional investors.
In addition to this lending change, JPMorgan will now consider crypto holdings when evaluating clients’ overall net worth and liquid assets. This means that crypto assets will be on par with traditional assets like stocks, vehicles, or fine art when determining loan eligibility.
This shift signifies a formal expansion of what was previously allowed on a limited basis. Other major financial institutions, such as Morgan Stanley, are also exploring ways to incorporate crypto offerings more widely. This decision by JPMorgan reflects the evolving U.S. regulatory environment, which has shown a more favorable stance toward digital assets.
The growing acceptance of crypto assets is further highlighted by the success of spot Bitcoin ETFs, which have amassed a combined $128 billion in assets since their introduction in January 2024. This success underscores the increasing institutional adoption of digital assets.
JPMorgan’s latest move follows its early experimentation with blockchain technology and existing relationships with industry players like Coinbase. Despite JPMorgan CEO Jamie Dimon’s public skepticism about Bitcoin, the bank is moving forward with expanding its crypto-related services to meet client demand.
As Bitcoin’s price continues to rise, hitting a record $111,980 in May 2025, the decision by JPMorgan to allow clients to use Bitcoin ETFs as collateral for loans signals a growing acceptance of digital assets in traditional financial institutions.
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