Report: JP Morgan to accept Bitcoin ETF collateral despite Basel crypto rules – Ledger Insights
While JP Morgan’s CEO Jamie Dimon is notoriously a crypto skeptic, Bloomberg reported (citing sources) that the bank will begin accepting bitcoin ETFs as collateral for loans to wealthy clients, starting with BlackRock’s iShares Bitcoin Trust. Additionally, the bank will consider crypto holdings when assessing clients’ net worth and liquid assets.
The collateral decision is particularly interesting because it navigates complex Basel Committee rules for banks involved with crypto-assets. Notably, the bank is willing to accept Bitcoin ETFs as collateral but there’s no mention of directly accepting bitcoin itself.
A bitcoin ETF is legally a stock
Typically, wealthy clients taking out loans might put up their homes,…
