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.
JPMorgan CEO softens stance on crypto
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 company’s 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 Dimon’s earlier anti-Bitcoin comments had alienated potential clients who made their money through crypto or were long-term believers in the asset class.
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More recently, Dimon started to soften his remarks on crypto, saying he’d defend people’s 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 don’t think you should smoke, but I defend your right to smoke. I defend your right to buy Bitcoin,” Dimon said.
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