JPMorgan’s new move marks a turnaround for the investment bank as its CEO Jamie Dimon previously described Bitcoin as a dangerous scam.
Investment banking firm JPMorgan Chase & Co (NYSE: JPM) lists a Bitcoin fund for clients. After a successful rollout, JPMorgan will be the first and largest bank in the US to offer such a service. Now JPMorgan has cryptocurrency as an asset class, and clients can now invest in the digital asset.
JPMorgan’s client invests in Bitcoin Fund
Regarding JPMorgan’s new development, two sources told CoinDesk that JPMorgan could start the Bitcoin fund as early as next summer. Another source announced that the leading technology and financial services company dedicated to Bitcoin NYDIG will be the custodian of the Bitcoin Fund. Several sources told CoinDesk that the bank’s Bitcoin fund is being actively managed.
A source further announced that the JPMorgan Fund would only be available to the company’s retail clients.
JPMorgan’s new move marks a turnaround for the investment bank as its CEO Jamie Dimon once described Bitcoin as a dangerous scam. At the time in 2017, Dimon was a bitcoin bear and threatened to fire any trader who invested in the royal coin in seconds. In an interview with CNBC, the CEO said he could be less interested in BTC. As he spoke he warned:
“If you’re stupid enough to buy it, one day you’ll pay for it.”
Regardless of Dimon’s position on Bitcoin, other JPMorgan executives are open to cryptocurrency.
In February, the company’s co-president Daniel Pinto said increasing customer demand for crypto could force JPMorgan’s view of Bitcoin. Pinto stated:
“If over time an asset class develops that will be used by various asset managers and investors, we need to be involved. The demand is not there yet, but I am sure that it will eventually be. “
JPMorgan is evolving in crypto and blockchain treatment
Although the customer-centric Bitcoin fund is new, JPMorgan’s businesses have gradually changed their perception of crypto and blockchain. Research analysts for the banking giant have provided reports on the price of Bitcoin. Recently, JPMorgan said that the price of Bitcoin will compete with gold for a long-term price of $ 130,000.
At press time, BTC is up 7.21% to $ 53,360.
In addition, JPMorgan’s Onyx division facilitates interbank payments using blockchain technology. Last month, JPMorgan opened 34 positions in the blockchain space.
JPMorgan stock is currently trading at $ 152.11, up 1.28% from its previous closing price of $ 150.19. According to corporate performance compiled by MarketWatch, the company’s stock is up nearly 61% over the past twelve months. In addition, the bank’s share has gained 19.73% since the beginning of the year. In the past three months, the banking giant is up over 15%. Despite the gains posted, JPMorgan stock is down 0.35% last month and down 0.33% in the past five days.
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Ibukun is a crypto / financial writer interested in sharing relevant information and not using complex words to reach all types of audiences. In addition to writing, she enjoys watching movies, cooking, and exploring restaurants in the Lagos city where she lives.
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