JPMorgan will accept Bitcoin and Ethereum as collateral.

America's banking giant JPMorgan has taken a significant step towards the cryptocurrency world by offering its institutional clients the ability to use Bitcoin and Ethereum assets as collateral by the end of the year.

Additionally, JPMorgan has developed a new global program that will enable its institutional investors to use Bitcoin and Ethereum assets as collateral before the end of 2025. Under this program, the cryptocurrency assets shown as collateral will be secured by third-party custodians. Previously, JPMorgan only accepted spot Bitcoin and Ethereum ETFs as collateral, but this time they have taken a step that includes the assets themselves.

Bank officials indicate that this program will only cover large institutional investors and will be conducted within the framework of risk management. JPMorgan's expansion of its crypto collateral model shows its increasing cautious interest in this area. This move is also expected to lead to greater integration of the digital asset ecosystem with the emergence of crypto-collateralized financial products.

Many market experts point out that JPMorgan's decision to accept Bitcoin and Ethereum directly as collateral demonstrates the increasingly blurred lines between traditional finance and crypto assets. This development could provide greater flexibility in liquidity management for large funds and digital asset managers. Therefore, it is important for investors to closely monitor this program.