JPMorgan to Allow Crypto Collateral Globally by Year-End

JPMorgan Chase plans to let institutional clients pledge Bitcoin and Ether as collateral for loans by the end of 2025 in a global program that will rely on third‑party custodians to safeguard the tokens. The move builds on the bank’s earlier acceptance of crypto‑linked ETFs as loan collateral and on broader regulatory easing since 2024, including approval of spot Bitcoin ETFs, which has reduced compliance friction for banks. The program would let clients unlock liquidity without selling holdings and is being framed as both a practical expansion of lending infrastructure and a symbolic shift for a bank whose CEO Jamie Dimon has softened his long-standing public skepticism of cryptocurrencies. Other major financial firms, including Morgan Stanley, Fidelity, BNY Mellon and State Street, have been expanding crypto custody and lending services, underscoring Wall Street’s broader embrace of digital assets.