JPMorgan Chase is reportedly wanting into crypto-backed loans, signaling a possible shift in how US banks regard crypto belongings.
The Monetary Instances reported on Tuesday, citing unidentified sources, that JPMorgan might begin lending instantly in opposition to crypto belongings like Bitcoin (BTC) and Ether (ETH).
The FT reported this may increasingly occur by 2026, although the plans are topic to alter.
The report adopted a latest JPMorgan indication that it’s all for stablecoins. In a July 15 earnings name, JPMorgan Chase CEO Jamie Dimon mentioned they plan to be concerned in stablecoins. He mentioned the financial institution will probably be concerned within the asset class to “perceive it” and “be good at it.”
The feedback got here as its competitor Citigroup introduced plans to enter the stablecoin race. In a post-earnings convention name, Citigroup CEO Jane Fraser mentioned the financial institution was contemplating issuing a stablecoin for funds.
Cointelegraph reached out to JPMorgan for feedback however had not acquired a response by publication.
JPMorgan CEO softens stance on crypto
In earlier years, Dimon had expressed anti-crypto sentiments. In 2017, he known as Bitcoin a “fraud” throughout an organization assembly, saying that he would hearth any worker buying and selling BTC on the corporate’s accounts.
In 2018, Dimon criticized crypto throughout an occasion, calling it a “rip-off” and saying he had no real interest in it.
In 2022, Dimon made extra anti-crypto remarks, calling digital belongings “decentralized Ponzi schemes.” Regardless of this, he commented positively on blockchain, decentralized finance (DeFi), good contracts and “tokens that do one thing.”
Based on the Monetary Instances report, the unidentified supply mentioned that Dimon’s earlier anti-Bitcoin feedback had alienated potential shoppers who made their cash by way of crypto or have been long-term believers within the asset class.
Associated: SEC explores Ethereum token commonplace for compliant securities
Extra just lately, Dimon began to melt his remarks on crypto, saying he’d defend folks’s rights to purchase Bitcoin.
On Could 19, Dimon mentioned they may permit JPMorgan shoppers to purchase BTC. Nevertheless, the corporate mentioned it will not custody the crypto asset.
“I don’t assume you need to smoke, however I defend your proper to smoke. I defend your proper to purchase Bitcoin,” Dimon mentioned.
Journal: Pakistan will deploy Bitcoin reserve in DeFi for yield, says Bilal Bin Saqib
