JPMorgan Chase is reportedly looking into crypto-backed loans, signaling a potential shift in how US banks regard crypto assets.The Financial Times reported on Tuesday, citing unidentified sources, that JPMorgan may start lending directly against crypto assets like Bitcoin (BTC) and Ether (ETH).
The FT reported this may happen by 2026, though the plans are subject to change.The report followed a recent JPMorgan indication that it is interested in stablecoins.
In a July 15 earnings call, JPMorgan Chase CEO Jamie Dimon said they plan to be involved in stablecoins.
He said the bank will be involved in the asset class to understand it and be good at it.The comments came as its competitor Citigroup announced plans to enter the stablecoin race.
In a post-earnings conference call, Citigroup CEO Jane Fraser said the bank was considering issuing a stablecoin for payments.Cointelegraph reached out to JPMorgan for comments but had not received a response by publication.In previous years, Dimon had expressed anti-crypto sentiments.
In 2017, he called Bitcoin a fraud during a company meeting, saying that he would fire any employee trading BTC on the companys accounts.
In 2018, Dimon criticized crypto during an event, calling it a scam and saying he had no interest in it.In 2022, Dimon made more anti-crypto remarks, calling digital assets decentralized Ponzi schemes.
Despite this, he commented positively on blockchain, decentralized finance (DeFi), smart contracts and tokens that do something.According to the Financial Times report, the unidentified source said that Dimons earlier anti-Bitcoin comments had alienated potential clients who made their money through crypto or were long-term believers in the asset class.Related: SEC explores Ethereum token standard for compliant securitiesMore recently, Dimon started to soften his remarks on crypto, saying hed defend peoples rights to buy Bitcoin.
On May 19, Dimon said they will allow JPMorgan clients to buy BTC.
However, the company said it would not custody the crypto asset.I dont think you should smoke, but I defend your right to smoke.
I defend your right to buy Bitcoin, Dimon said.Magazine: Pakistan will deploy Bitcoin reserve in DeFi for yield, says Bilal Bin Saqib