JPMorgan To Accept Crypto-Linked ETFs As Loan Collateral
JPMorgan Chase (NASDAQ:JPM) is preparing to allow clients in its trading and wealth management divisions to use certain cryptocurrency-related assets, specifically Bitcoin (CRYPTO: BTC) ETFs, as collateral for loans.
What Happened: Quoting unnamed sources, Bloomberg reported that the bank will initially begin offering financing backed by BlackRock’s iShares Bitcoin Trust (NASDAQ:IBIT).
The change marks a significant policy adjustment as traditional financial institutions respond to regulatory shifts and growing client demand following the election of President Donald Trump, whose administration has taken a notably pro-crypto stance.
In addition to accepting Bitcoin ETFs for lending purposes, JPMorgan also intends to factor clients’ crypto holdings into wealth assessments.
The inclusion would place cryptocurrencies alongside more traditional assets such as equities, real …
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