JPMorgan to Allow Bitcoin, Ethereum as Loan Collateral by 2025

JPMorgan Chase to Accept Bitcoin and Ethereum as Loan Collateral

JPMorgan Chase plans to allow institutional clients to use Bitcoin and Ethereum as collateral for loans by the end of 2025.
The initiative will involve third-party custodians to safeguard crypto assets.
This offering will be available globally, aiming to integrate crypto into traditional lending systems.
JPMorgan had earlier considered allowing crypto ETFs as collateral, starting with BlackRock’s iShares Bitcoin Trust.
The bank's growing involvement in blockchain includes its Onyx platform and JPM Coin for cross-border settlements.

Goldman Sachs has executed Bitcoin-backed loans, indicating wider acceptance of crypto-collateral in credit markets.
BNY Mellon and State Street have developed tokenization, custody, and fund servicing platforms for digital assets.
Citigroup and U.S. Bancorp are working on custody and payment solutions using crypto as collateral.
These developments highlight the merging of traditional finance with cryptocurrency services.