JPMorgan Chase Breaks New Ground: Crypto-Backed Loans for BTC and ETH Launch in 2026

Wall Street's sleeping giant just woke up—and it's hungry for crypto collateral.

JPMorgan Chase is rolling out Bitcoin and Ethereum-backed lending services next year, finally giving institutional holders a way to unlock liquidity without selling. No more 'HODL or bust' ultimatums—just cold, hard cash against your digital stash.

The irony? The same bank that once called Bitcoin 'a fraud' now plans to profit from its volatility. Classic finance: hate the game until you can tax the players.

Expect loan-to-value ratios tighter than a banker's grip on bonus season. But for crypto whales tired of OTC desk handshakes? This might just be the mainstream lifeline they've waited for.

Yes, $BTC and $ETH as collateral.

The same banks that laughed in 2017? They are positioning now. pic.twitter.com/LIM7U1GmfJ

— Wise Advice (@wiseadvicesumit) July 22, 2025

The bank’s CEO, Jamie Dimon, has previously made known his displeasure with crypto, calling it a fraud. Furthermore, according to a source quoted by the Financial Times, Dimon had once stated his intention to fire any trader trading crypto.

His stance on stablecoins has shifted, however, acknowledging stablecoins as “real” and confirming JPMorgan Chase’s involvement in both deposit tokens and stablecoins. However, he has also questioned its practicality compared to traditional payment systems.

His comments came during an earnings call on 15 July 2025, where he stated that the bank will be engaging with the asset class to “understand it” and “be good at it”

Dimon’s comments coincided with Citigroup’s announcement of its intention to join the stablecoin space as well. Citigroup CEO Jane Fraser said that the bank may roll out a stablecoin to power payment solutions.

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JPMorgan Already Supports Crypto-Backed Lending For Select Clients

While a more mainstream lending apparatus against crypto is being explored by the bank, it already has provisions to let its clients borrow against crypto. Since June 2025, the bank has allowed select clients to borrow against crypto ETFs. BlackRock’s iShares Bitcoin Trust comes to mind.

Moreover, JPMorgan Chase has stated that it plans to expand access to other funds after the rollout. The offering is targeted towards high-net-worth individuals and is a marked shift in now cryptocurrencies can now influence creditworthiness.

If lending against ETFs is the first phase, then the next major step would logically be the allowance of loans backed by actual digital assets. However, to do so, JPMorgan Chase would need to address technical hurdles, especially the management of crypto collateral in case of default.

Dimon has previously stated that the bank will soon permit its clients to buy Bitcoins, although it won’t provide any custody service. “I don’t think you should smoke, but I defend your right to smoke. I defend your right to buy Bitcoin,” Dimon had then said.

The bank’s decision to lend against crypto follows a broader shift in US policy towards crypto, as highlighted by US President Donald Trump’s endorsement of the GENIUS Act, signed last week.

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Key Takeaways

• JPMorgan Chase may commence its crypto-backed lending program for BTC and ETH starting next year with subject to change
• The bank’s CEO has softened his stance on stablecoins
• JPMorgan Chase will be the biggest American bank to endorse crypto if it follows through