JPMorgan has finally capitulated: accepting Bitcoin ETF as loan collateral

Wall Street giant Jamie Dimon, who once called Bitcoin a "fraud," probably never imagined that he would now be the one to open the door to Crypto Assets.

Written by: BitpushNews

Jamie Dimon, the Wall Street giant who once called Bitcoin a "fraud," probably never imagined that he would now open the door to Crypto Assets himself.

According to Bloomberg, citing informed sources on June 4, JPMorgan will begin offering financing services backed by BlackRock's iShares Bitcoin Trust (IBIT) shares in the coming weeks. This policy will be available to all customer groups globally, treating individual retail investors and institutional investors equally.

This milestone action not only marks a significant shift in traditional finance's attitude towards Crypto Assets but also signals that the deep integration of digital assets with the mainstream financial system is accelerating.

New Regulations on Loan Collateral: Bitcoin ETF on Par with Traditional Securities

It is worth noting that, in addition to loan collateral, JPMorgan will also start to consider cryptocurrency holdings when assessing the net worth and liquid assets of certain clients, placing them on par with traditional securities such as stocks, cars, or artworks in determining loan eligibility.

This is not merely a simple business adjustment, but a significant turning point. During the investor day event in May of this year, Dimon also publicly stated that he "does not have a positive outlook on Bitcoin," only reluctantly acknowledging that "customers have the right to purchase."

This move marks JPMorgan's shift towards a more formal and structured financing framework, building on its previous limited, case-by-case approval of crypto asset collateral. Previously, other major financial institutions like Morgan Stanley have also been exploring the broader integration of crypto products, such as Bloomberg reported last month that Morgan Stanley plans to launch cryptocurrency trading on its E*Trade platform.

The Shift in Executive Attitudes and Institutional Demand

Dimon has long been critical of Crypto Assets, particularly wary of their use in illegal activities such as money laundering. However, his recent softening of attitude, especially his statement "I am not a fan of Bitcoin, but I defend your right to buy Bitcoin," clearly demonstrates the pragmatic choices banks are making in the face of market and regulatory pressures.

Wealth management firms are facing a large demand from clients for exposure to digital assets. Data shows that the total size of the U.S. spot Bitcoin ETF has exceeded $128 billion since its launch, with daily trading volume crushing that of gold ETFs.

The public listing of Circle and other crypto companies on the U.S. stock exchanges, coupled with investors' growing interest in crypto assets before long-term regulatory clarity is sought, makes it harder for banks to ignore this field. Earlier, a private banking advisor from JPMorgan mentioned in an interview with CNBC: "Every day, high-net-worth clients ask: Why can't we allocate to Bitcoin?"

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Trump's Administration's "Pro-Crypto" Policies Fuel the Surge

JPMorgan Chase launched JPM Coin in 2019 to test the waters of blockchain, yet it has always maintained a safe distance from Bitcoin. The backdrop of this shift is that the regulatory environment in the United States is becoming increasingly favorable. Since President Trump took office again in January 2025, his administration has adopted a clearly "pro-encryption" stance.

• Executive Orders and Working Groups: On January 23, 2025, Trump signed an executive order aimed at promoting the responsible growth of digital assets and blockchain technology, emphasizing the role of the United States as a global leader in the field of innovation.
• Crypto-friendly appointments: His administration also appointed crypto-friendly individuals such as David Sacks to lead a crypto task force responsible for creating a legal framework that supports industry growth and provides clarity for businesses.
• Treasury Secretary Statement: Treasury Secretary Scott Bessent in the Trump administration has been a vocal advocate of blockchain innovation, in stark contrast to the hard-to-hold of the Biden era. During former Treasury Secretary Janet Yellen's tenure in (Janet Yellen), banks such as JPMorgan Chase received multiple regulatory warning letters for serving crypto companies.

From a more macro perspective, this "compromise" reflects the opening of a new era: as asset management giants like BlackRock and Fidelity launch Bitcoin ETFs, and the Trump administration elevates crypto innovation to a national strategy, the resistance of traditional financial institutions has become outdated.