Clients Can Now Pledge BTC and ETH as Collateral at JPMorgan, Bloomberg Reports

JPMorgan to Accept Bitcoin and Ether as Loan Collateral for Institutional Clients

JPMorgan Chase plans to let institutional clients use their bitcoin (BTC $111,605.32) and ether (ETH $3,938.43) holdings as collateral for loans by the end of 2025, according to Bloomberg.

Under the program, pledged tokens will be secured by a third-party custodian, building on JPMorgan’s earlier initiative to accept crypto-linked ETFs as collateral.

The development reflects Wall Street’s growing embrace of digital assets. With Bitcoin hitting record highs this year and regulatory frameworks becoming clearer, major banks are moving from cautious observation to actively integrating crypto into lending and financing services.

Other financial leaders, including Morgan Stanley, State Street, and Fidelity, are expanding their crypto offerings as well, rolling out retail access and custody solutions, Bloomberg reported.