Bitcoin News Today: JPMorgan Embraces Crypto Collateral Despite Dimon's 'Pet Rock' Past

JPMorgan Chase & Co. is set to allow institutional clients to use Bitcoin and Ethereum as collateral for loans, marking a significant shift in the bank's approach to digital assets, according to Coinotag. The program, expected to launch by late 2025, will enable clients to pledge the cryptocurrencies for secured financing, with a third-party custodian overseeing the assets to mitigate risk. This move expands JPMorgan's earlier acceptance of crypto-linked ETFs as collateral and reflects growing institutional demand for diversified lending options amid a maturing crypto market.

The decision underscores a symbolic reversal for CEO Jamie Dimon, who has long criticized Bitcoin as a "hyped-up fraud" and a "pet rock." Despite his skepticism, JPMorgan's internal reviews and client pressure have prompted the bank to integrate digital assets into its core operations. "I defend your right to buy Bitcoin, go at it," Dimon said in a May investor conference, signaling a softened stance while maintaining personal doubts, as noted by Benzinga. The bank's new framework positions Bitcoin and Ethereum alongside traditional assets like stocks and gold, treating them as credible collateral for institutional lending, as reported by TheCoinRise.

The program's structure emphasizes security and compliance. Pledged tokens will be held by a third-party custodian, isolating them from JPMorgan's balance sheet and ensuring adherence to regulatory standards, according to FinanceFeeds. This approach aligns with broader industry practices, as seen in similar initiatives by Morgan Stanley, BlackRock, and Fidelity, which have begun accepting crypto as collateral for ETFs and other financial products, as covered by CryptoFront News. JPMorgan's move also aligns with the Trump administration's pro-crypto regulatory environment, including proposed legislation like the Market Structure Act, which aims to clarify crypto market rules.

Market reactions have been cautiously optimistic. Bitcoin surged above $111,300 following the announcement, reflecting renewed institutional interest. Analysts suggest that treating crypto as collateral could unlock billions in liquidity for institutional holders, allowing them to access credit without selling their assets. This development may also stabilize prices by reducing selling pressure, particularly for Ethereum, which currently trades around $3,924, a trend noted in coverage by Yahoo Finance.

The shift mirrors a broader trend of traditional finance embracing digital assets. Competitors like Morgan Stanley and State Street Corp. have expanded crypto services, while the Swiss banking sector has pioneered crypto collateral for loans; a recent piece on Crypto.News highlights growing Swiss momentum. Meanwhile, Prenetics' recent $48 million equity offering, partly allocated to Bitcoin treasury strategies, highlights growing corporate confidence in the asset class, as announced in a Prenetics announcement.

JPMorgan's foray into crypto collateral is not without risks. The volatility of Bitcoin and Ethereum poses challenges for maintaining stable loan-to-value ratios. However, the bank's reliance on third-party custodians and dynamic collateral adjustments aims to mitigate these concerns. Regulatory clarity remains a critical factor, with the Trump administration's initiatives potentially shaping the future landscape for institutional crypto adoption. Other recent institutional notices, such as a MarketScreener filing about scheduled earnings calls, underscore the broader market calendar that may interact with crypto adoption dynamics (MarketScreener), and JPMorgan's broader international operations include moves like resuming dollar clearing in Angola, reported by Business Insider Africa.

Sources:

JPMorgan becomes first US bank to resume dollar clearing in Angola https://africa.businessinsider.com/local/markets/jpmorgan-becomes-first-us-bank-to-resume-dollar-clearing-in-angola/jjv9ejt

Goldman Sachs BDC, Inc. schedules earnings release and conference call to announce third quarter 2025 results https://www.marketscreener.com/news/goldman-sachs-bdc-inc-schedules-earnings-release-and-conference-call-to-announce-third-quarter-202-ce7d5ddfdc8af320

Prenetics Announces Oversubscribed Approximately $48 Million Equity Offering with Potential for $216 Million in Total Proceeds to Fuel IM8's Global Expansion and Bitcoin Treasury Strategy https://www.globenewswire.com/news-release/2025/10/27/3174731/0/en/prenetics-announces-oversubscribed-approximately-48-million-equity-offering-with-potential-for-216-million-in-total-proceeds-to-fuel-im8-s-global-expansion-and-bitcoin-treasury-str.html

Swiss MP is working to get Bitcoin in the constitution https://crypto.news/swiss-mp-is-working-to-get-bitcoin-in-the-constitution/

JPMorgan Plans to Accept Bitcoin as Collateral for Institutional Loans by Late 2025 https://en.coinotag.com/jpmorgan-plans-to-accept-bitcoin-as-collateral-for-institutional-loans-by-late-2025/

'Pet Rock' No More: JPMorgan To Accept Bitcoin, Ethereum As Collateral https://www.benzinga.com/crypto/cryptocurrency/25/10/48404937/pet-rock-no-more-jpmorgan-to-accept-bitcoin-ethereum-as-collateral

JPMorgan To Accept Bitcoin, Ethereum As Collateral https://finance.yahoo.com/news/pet-rock-no-more-jpmorgan-013104388.html

JPMorgan to Accept Bitcoin and Ethereum as Collateral in New Institutional Lending Program https://cryptofrontnews.com/jpmorgan-to-allow-bitcoin-and-ethereum-as/

JPMorgan to Accept Bitcoin and Ethereum as Collateral for Institutional Loans https://financefeeds.com/jpmorgan-to-accept-crypto-as-collateral-for-loans/

JPMorgan to Accept Bitcoin and Ethereum as Loan Collateral https://thecoinrise.com/jpmorgan-to-accept-bitcoin-and-ethereum-as-loan-collateral/