This move marks a significant step in integrating digital assets into traditional finance. The bank plans to implement this program globally, relying on third-party custodians to safeguard the pledged tokens.
According to Bloomberg, this development builds upon JPMorgan’s earlier decision to accept crypto-linked ETFs as collateral.
Understanding the Shift
For years, JPMorgan CEO Jamie Dimon expressed skepticism toward cryptocurrencies, even labeling Bitcoin a “fraud” in 2017. However, the bank’s recent actions indicate a shift in perspective.
The decision to accept Bitcoin and Ether as collateral reflects a broader trend of traditional financial institutions embracing digital assets. This move could provide crypto-wealthy clients with more liquidity options without the need to sell their holdings.
NEW: JPMORGAN PLANS TO ALLOW INSTITUTIONAL CLIENTS TO USE BITCOIN AND ETHER AS COLLATERAL FOR LOANS BY THE END OF THE YEAR – PER BLOOMBERG SOURCES pic.twitter.com/oIQfdjhAzx
— DEGEN NEWS (@DegenerateNews) October 24, 2025
This development underscores the growing acceptance of cryptocurrencies in mainstream finance. For investors, it highlights the increasing recognition of digital assets as legitimate financial instruments.
As more institutions adopt similar practices, the landscape for crypto-related financial services is likely to expand, offering new opportunities for both institutional and individual investors.
More About Crypto Adoption
Despite Bitcoin staying above $100,000 and seeing record institutional adoption, retail interest has sharply declined. Google searches for “Bitcoin” are now lower than nearly any point during the 2020 and 2021 bull run, as well as the following bear market.
Despite Bitcoin holding above $100K with record institutional adoption, retail interest has collapsed.
Google searches for “Bitcoin” now lower than during practically the entire 2020/21 bull run and following bear market.
Full breakdown below: pic.twitter.com/DyL3K0VXuC
— Matt Crosby (@MattCrosbyPro) October 23, 2025
This suggests that while big investors and institutions continue to embrace crypto, everyday retail participants are showing less excitement, signaling a shift in market dynamics and sentiment.
Disclaimer
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