JPMorgan Explores Offering Crypto Trading To Institutional Clients: Report

JPMorgan Chase is exploring the products and services its markets division could offer, including spot and derivatives trading, Bloomberg News reported.

• The efforts are in early stages and are in response to rising client interest after the change in the U.S. regulatory environment, according to the report. 
• Concrete plans depend on sufficient demand for specific products, as well as on risks and opportunities, and on regulatory feasibility. 
• JPMorgan’s recent crypto push includes a reported launch of a private tokenized money-market fund on Ethereum and the arrangement of a short-term bond on Solana, among other moves.

JPMorgan Chase & Co. (JPM) is reportedly mulling plans to offer cryptocurrency trading to its institutional clients and is looking into the kinds of products and services its markets division could offer.

This effort could include spot and derivatives trading as the firm expands its footprint in cryptocurrencies, according to a Bloomberg report, citing a person familiar with the matter.

The move, which is in its early stages, comes amid rising interest from American clients following changes to U.S. digital assets regulations, Bloomberg reported. Final plans are contingent on sufficient demand for specific products and risks and opportunities, it said. JPMorgan will also consider what is feasible from a regulatory standpoint.

Crypto Push

JPMorgan has recently accelerated its push into cryptocurrencies as global banks expand offerings amid growing demand for the asset following the government's easing of crypto industry regulations.

Earlier this month, The Wall Street Journal reported that the firm’s $4 trillion asset-management arm is launching its first private tokenized money-market fund on the Ethereum (ETH) blockchain called My OnChain Net Yield Fund (MONY).

It also arranged a short-term bond for Galaxy Digital Holdings on the Solana blockchain in December. In November, Bloomberg News reported that JPMorgan was in the process of rolling out a deposit token, JPM Coin, to institutional clients. Naveen Mallela, the bank’s global co-head of Kinexys, its blockchain division, said the token would enable users to send and receive money on the Coinbase Global Inc.-affiliated public blockchain Base.

Morgan Stanley, Standard Chartered, and Goldman Sachs are among the big firms actively expanding their cryptocurrency offerings.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment around JPM stock remained in the ‘bearish’ territory, and message volume stayed at ‘low’ levels at the time of writing.

Shares of JPMorgan are up over 34% in the last year.

For updates and corrections, email newsroom[at]stocktwits[dot]com.<