JPMorgan, which up until recently has distanced itself from cryptocurrencies, has suddenly decided to reverse course and begin offering a bitcoin fund to some of its wealthier clients.
According to CoinDesk, which cited people familiar with the matter, JPMorgan is preparing to allow its traders — which were previously threatened with termination if they dared to touch bitcoin — the option to trade the world’s largest cryptocurrency on the bank’s behalf. The new actively managed fund will be available sometime this summer, and NYDIG will serve as the custody provider.
The newest JPMorgan fund will allow its wealthy clients and institutions to purchase bitcoin exposure without actually having to buy and store the coins. The fund will be made available to the bank’s “private wealth” clients, which are typically comprised of family offices and wealthy customers.
Major Wall Street banks have thus far remained on the sidelines while digital currencies such as bitcoin soared in popularity. Now, JPMorgan has been making some of the biggest moves in the space, even adding crypto exchange Coinbase and Gemini Trust as its clients. In the meantime, bitcoin rose by more than 10% on Monday, following a weekend dip.
Information for this briefing was found via CoinDesk. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.