Written by: Glendon, Techub News
Last night, a report from Bloomberg sparked industry attention. As major global banks accelerate their layout in the cryptocurrency asset class, Wall Street giant JPMorgan Chase & Co. is considering offering cryptocurrency trading services to institutional clients. Insiders revealed that the bank is assessing what products and services its market department can provide to expand its influence in the cryptocurrency field, which may cover spot and derivative trading.
Although a spokesperson for JPMorgan Chase has not yet responded to the related news, and the specific implementation plan remains unclear, this trend has clearly conveyed a signal: this financial giant is steadfastly deepening its involvement in the cryptocurrency industry.
Looking back over the past decade, JPMorgan Chase's layout in the cryptocurrency field can be described as a transformation from a 'staunch opponent' to a 'strategic embracer.' As one of the core hubs of the global financial system, JPMorgan Chase's exploration in the cryptocurrency field is a classic example of traditional finance's layout. At multiple critical stages, such as blockchain platforms, stablecoin systems, and tokenized assets, it has implemented several influential initiatives. This article will outline the development history of its cryptocurrency business.
Application of blockchain technology: from internal experiments to infrastructure
In 2015, for JPMorgan Chase, it was both the starting year for entering the blockchain industry and a year of accelerated technological exploration. A key milestone occurred in September 2015 when JPMorgan Chase, together with Goldman Sachs, State Street Bank, and six other banks, jointly established the R3 consortium, marking the first systematic exploration of blockchain applications in the financial settlement field. Its core goal is to use blockchain technology to reshape financial infrastructure to address the longstanding issues of low efficiency, high costs, and lack of transparency in traditional finance.
In October 2016, after more than a year of technological research and testing by the blockchain team, JPMorgan Chase collaborated with the startup EthLab to develop a private blockchain platform based on Ethereum called Quorum. This platform adopts the Ethereum Virtual Machine architecture while restricting node permissions, becoming the first bank-level blockchain system to pass regulatory sandbox testing. The platform focuses on privacy protection and performance optimization, supporting high throughput and low latency transactions, and later became the underlying technology for JPM Coin. The launch of this platform marked JPMorgan Chase's official transition from the exploration stage of blockchain technology to the practical application stage, laying the groundwork for its subsequent layout in the fields of cryptocurrency and tokenized assets.
On this basis, the blockchain project led by JPMorgan Chase — the Interbank Information Network (IIN) officially launched in October 2017. This is JPMorgan Chase's first scalable peer-to-peer network supported by Quorum. IIN minimizes friction in the cross-border payment process, allowing payments to reach beneficiaries with fewer steps and faster speeds. As of data disclosed in 2019, the INN's banking network covered over 400 banks.
In simple terms, JPMorgan Chase's early layout for blockchain followed the rhythm of 'testing while promoting': first deeply participating in the formulation of industry standards through the R3 consortium, and then implementing actual business based on the Quorum platform and the IIN cross-border payment network, gradually moving from the technology validation stage to the large-scale application stage.
Stablecoin System: From JPM Coin to the Compliance Innovation of Deposit Tokens
Although JPMorgan Chase began engaging with blockchain technology early on, its exploration in the cryptocurrency field did not start until 2019. Prior to that, JPMorgan Chase's attitude towards cryptocurrencies was not friendly, and could even be described as firmly opposed. In September 2017, JPMorgan Chase CEO Jamie Dimon openly stated at a Barclays bank conference: 'Bitcoin will ultimately fail; it is a complete scam,' and even said, 'If JPMorgan Chase has a trader involved in Bitcoin trading, I would fire him for his stupidity.' This statement directly led to a 2% drop in Bitcoin's price that day. In the following years, Jamie Dimon's resistance to cryptocurrencies did not ease, but the views within JPMorgan Chase regarding cryptocurrencies were not entirely in agreement with the CEO.
JPMorgan Chase's shift in stance occurred in February 2019, a milestone moment. At that time, JPMorgan Chase announced the launch of the institution-level stablecoin JPM Coin (JPMD), pegged 1:1 to the dollar. This was the first stablecoin issued by a major U.S. bank, operating on a private chain, primarily serving cross-border payment business between compliant institutional clients to enhance the efficiency of fund flows within the banking system. This move was also seen as a landmark event signifying Wall Street's formal entry into the cryptocurrency field.
In October of the same year, JPM Coin was officially launched. After six years of development, it has achieved a key leap from internal experimentation to an open ecosystem, a process that has almost become a microcosm of traditional finance embracing the industry.
During this period, JPMorgan Chase joined forces with ConsenSys and completed the merger of Quorum in August 2020. After the merger, JPMorgan Chase handed over the management of the open-source blockchain platform Quorum to ConsenSys, and both the Quorum brand and technical route remained independent and open-source, while JPMorgan Chase continued to participate as an important user and contributor. In the same year, JPMorgan Chase created a new business unit called Onyx (renamed Kinexys in 2024) and incorporated all its blockchain and digital currency businesses to strengthen its layout in the crypto field. According to data released by JPMorgan Chase in 2024, Kinexys has processed over $15 trillion in transaction volume, averaging over $2 billion in transactions daily.
As we reach 2025, this year will undoubtedly be a key year for JPMorgan Chase in moving towards an open ecosystem. Against the backdrop of increasingly open regulatory policies in the United States, JPMorgan Chase piloted the issuance of deposit tokens JPMD on the Base blockchain under Coinbase in June, providing payment solutions and marking the first time commercial deposits have been put on-chain. Subsequently, the bank launched JPMD to more institutional clients, continuing to expand its digital asset landscape.
On December 18, JPMorgan Chase officially deployed JPM Coin to Base, marking the first large-scale access to the public chain ecosystem for the Wall Street giant. It is important to note that JPM Coin is not a stablecoin in the traditional sense but rather a digital mapping of bank deposits that accrues interest. Currently, it is primarily used as collateral and margin payment for cryptocurrency transactions, indicating that traditional finance is gradually moving closer to DeFi.
During this period, JPMorgan Chase also registered the Euro deposit token stock code 'JPME.' From initially being used only for cross-border payments between institutional clients to the first attempt to integrate into the DeFi ecosystem, JPMorgan Chase's 'permissioned stablecoin' model retains the bank's risk control capabilities while leveraging the programmability of blockchain, providing a compliant channel for traditional institutions to participate in the crypto economy.
Crypto ETFs and Tokenized Assets: Deepening Layout in Alternative Investment Markets
JPMorgan Chase's attitude towards cryptocurrency ETFs has also undergone a transformation from caution to openness. Since the approval of the Bitcoin spot ETF in January 2024, JPMorgan Chase has become an important participant in BlackRock's Bitcoin spot ETF (IBIT). Furthermore, in the amended S-1 form for the Bitcoin spot ETF submitted by BlackRock to the U.S. Securities and Exchange Commission (SEC) at the end of 2023, JPMorgan Chase Securities was designated as the authorized dealer (AP) for this ETF. Additionally, at the end of this November, JPMorgan Chase launched a structured note linked to IBIT.
According to JPMorgan Chase's submitted 13F filings, as of the third quarter of this year, its iShares Bitcoin Trust ETF (IBIT) total holdings have reached 5.28 million shares, an increase of 64% from the 3.22 million shares held in June. This data clearly indicates that JPMorgan Chase significantly increased its investment in spot Bitcoin ETFs in the third quarter.
In the field of tokenization, JPMorgan Chase's efforts are notably stronger. In October 2025, JPMorgan Chase completed a tokenization pilot for a private equity fund on its own blockchain platform, marking an important step in advancing blockchain financial infrastructure. JPMorgan Chase has also clearly stated its plan to launch an 'Alternative Investment Fund Tokenization Platform' Kinexys Fund Flow for institutional clients in 2026, which will broadly cover many alternative asset classes such as private equity, credit, and real estate.
In mid-month, JPMorgan Chase once again made strides, with its asset management department announcing the launch of the first tokenized money market fund based on the Ethereum blockchain called 'My OnChain Net Yield Fund' (referred to as MONY), with an initial investment of $100 million, which will be open to eligible investors. In addition, JPMorgan Chase's Kinexys is also collaborating with Singapore's DBS Bank to develop a cross-chain interoperability framework for tokenized deposits, intended to support 24/7 transfers between public and permissioned chains.
From the series of initiatives mentioned above, it is evident that JPMorgan Chase is significantly deepening its layout in the entire cryptocurrency field, particularly in the tokenization market, actively promoting the transition of more traditional assets from 'static holding' to 'dynamic circulation' mode. Its layout also highlights that cryptocurrencies are rapidly being integrated into the core channels of the traditional financial system.
Today, JPMorgan Chase is considering providing institutional cryptocurrency trading services, which will not only be a key step for the giant in the cryptocurrency field but also mark the accelerating integration process of Wall Street's traditional financial system with cryptocurrencies.
In fact, as early as October, the head of JPMorgan Chase's digital asset markets business had revealed that the bank planned to enter the cryptocurrency trading business. Furthermore, JPMorgan Chase announced that it would allow institutional clients to use their held Bitcoin and Ethereum as collateral for loans by the end of this year. This plan will be launched globally, relying on third-party custodians to ensure the security of the pledged tokens. This move signifies that the bank has regarded digital assets as collateral on par with traditional assets such as stocks, bonds, and gold. Notably, yesterday JPMorgan Chase accepted Ethereum as collateral for loans.
Over the past decade, JPMorgan Chase's development in the cryptocurrency business has progressed from initial cautious observation and careful exploration to later proactive layout and innovation; from exploration of blockchain platforms and cross-border payments to the successful launch of the deposit stablecoin JPM Coin, and now to a comprehensive layout in the fields of tokenized assets and cryptocurrency trading. JPMorgan Chase has precisely stepped in rhythm with the evolution of the global financial landscape. Soon, when cryptocurrency trading services and platforms like Kinexys Fund Flow are successfully implemented, JPMorgan Chase may no longer be limited to simple participation but will occupy a more significant position in the crypto field.
