JPMorgan, America’s biggest bank by total assets, is set to let its trading and wealth-management clients use certain crypto-linked assets, including spot Bitcoin exchange-traded funds (ETFs), as loan collateral in the coming weeks, as the United States regulatory environment warms to digital assets.

According to a June 4 report from Bloomberg citing unnamed sources familiar with the matter, the banking giant will start by allowing financing backed by shares of BlackRock’s iShares Bitcoin Trust, currently the largest US spot Bitcoin ETF with over $70 billion in assets under management. 

JPMorgan will reportedly consider clients’ crypto holdings when assessing their total net worth and liquidity, treating cryptocurrencies like real estate and vehicles when determining a client’s ability to repay a loan.

JPMorgan’s Love-Hate Relationship With Bitcoin

Despite the expanded offerings for trading and wealth-management clients, Dimon has long been a Bitcoin skeptic. The billionaire banker has previously called Bitcoin a “pet rock” and asserted that crypto’s “true use case” was for sex traffickers and money launderers. While he recently confirmed that the bank he heads would soon start to allow customers to buy Bitcoin, the famously crypto-skeptical banker hasn’t changed his tune.

Nevertheless, the bank’s latest pivot underscores the increasing institutional pressure to accommodate crypto as the asset class’s footprint in traditional finance deepens. 

This comes as US President Donald Trump has been easing restrictions on banks and crypto-centric businesses. In April 2025, the Federal Reserve rescinded guidance that served to deter banks from engaging in crypto and stablecoin activities. 

The US Office of the Comptroller said in May that banks could now buy and sell crypto they hold in custody at customers’ direction. Later the same month, the Wall Street Journal reported that several US banks, including JPMorgan, Bank of America, and Citigroup, were holding early talks to issue a joint crypto stablecoin.

That said, Dimon’s JPMorgan could dive deeper into crypto with more offerings amid the changing regulatory winds.

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Filed under: Bitcoin - @ June 5, 2025 7:17 pm