JPMorgan Dives Into Crypto Collateral: Bitcoin & Ethereum-Backed Loans on the Horizon

Wall Street's sleeping giant just woke up to DeFi's killer app—using crypto as loan collateral. JPMorgan, the same bank that once called Bitcoin a 'fraud,' is now quietly building infrastructure to accept BTC and ETH as backing for institutional loans. Talk about a plot twist.

The move signals a tectonic shift in traditional finance's approach to digital assets. No longer content to just custody crypto for clients, megabanks want in on the yield game—even if it means eating their own words from a few earnings calls ago.

One veteran trader quipped: 'First they ignore you, then they laugh at you, then they undercut your business model. Classic finance playbook.' The real question? Whether Jamie Dimon will personally sign off on the first Bitcoin-backed loan—with appropriate theatrical reluctance, of course.