JPMorgan to Allow Clients to Pledge Bitcoin and Ether as Collateral

JPMorgan Chase will allow institutional clients to use bitcoin and ether holdings as collateral for loans by the end of the year. This initiative is part of a broader trend among major financial institutions that are increasingly integrating digital assets into their services. The bitcoin and ether pledged will be managed by a third-party custodian, following JPMorgan's previous acceptance of crypto-linked ETFs as collateral. This move signifies the growing acceptance of digital assets in Wall Street’s lending operations, especially as bitcoin reaches record highs and regulatory challenges decrease. Other financial firms like Morgan Stanley, State Street, and Fidelity are also expanding their crypto services, showing a shift from skepticism to active participation in the cryptocurrency market.

Source 🔗