The post JPMorgan to Let Clients Use Bitcoin and Ethereum as Collateral for Loans: Report appeared on BitcoinEthereumNews.com. JPMorgan Chase & Co. is reportedly working to allow its institutional clients to use Bitcoin and Ethereum as collateral for loans, marking one of the most direct integrations of crypto assets into Wall Street’s credit systems to date. The program, expected to launch by the end of 2025, will rely on a third-party custodian to hold the pledged tokens, per a Bloomberg report hours before the Friday opening bell. JPMorgan shares nudged 0.18% in pre-market trading at $294.93. Under the reported framework, clients could post crypto held by an approved custodian against credit lines or structured loans, allowing banks to manage exposure without directly taking custody of digital assets. It builds on JPMorgan’s earlier decision in June to accept crypto exchange-traded funds (ETFs) as collateral, extending that policy from derivatives and fund shares to the underlying assets themselves. Decrypt has reached out to JPMorgan to ask whether the program is already live or still in development, and how the bank plans to manage custody, valuation, and risk for crypto used as loan collateral, and will update this article should the bank respond. By the rules Once live, the program could position Bitcoin and Ethereum within the same collateral ecosystem as traditional investment instruments like Treasuries, gold, or equities, though with higher volatility and risk. But JPMorgan’s move could be “more about inevitability” given that it wasn’t as welcoming to crypto before, Samuel Patt, co-founder at Bitcoin metaprotocol OP_NET, told Decrypt. Patt noted a “fundamental tension” at work, in which Bitcoin, for one, was built “to remove counterparty risk, not be rehypothecated inside the same system it was meant to disrupt.”  “The more financial institutions integrate Bitcoin, the more they’ll have to learn to play by its rules, not the other way around,” Patt said. When banks move to accept… The post JPMorgan to Let Clients Use Bitcoin and Ethereum as Collateral for Loans: Report appeared on BitcoinEthereumNews.com. JPMorgan Chase & Co. is reportedly working to allow its institutional clients to use Bitcoin and Ethereum as collateral for loans, marking one of the most direct integrations of crypto assets into Wall Street’s credit systems to date. The program, expected to launch by the end of 2025, will rely on a third-party custodian to hold the pledged tokens, per a Bloomberg report hours before the Friday opening bell. JPMorgan shares nudged 0.18% in pre-market trading at $294.93. Under the reported framework, clients could post crypto held by an approved custodian against credit lines or structured loans, allowing banks to manage exposure without directly taking custody of digital assets. It builds on JPMorgan’s earlier decision in June to accept crypto exchange-traded funds (ETFs) as collateral, extending that policy from derivatives and fund shares to the underlying assets themselves. Decrypt has reached out to JPMorgan to ask whether the program is already live or still in development, and how the bank plans to manage custody, valuation, and risk for crypto used as loan collateral, and will update this article should the bank respond. By the rules Once live, the program could position Bitcoin and Ethereum within the same collateral ecosystem as traditional investment instruments like Treasuries, gold, or equities, though with higher volatility and risk. But JPMorgan’s move could be “more about inevitability” given that it wasn’t as welcoming to crypto before, Samuel Patt, co-founder at Bitcoin metaprotocol OP_NET, told Decrypt. Patt noted a “fundamental tension” at work, in which Bitcoin, for one, was built “to remove counterparty risk, not be rehypothecated inside the same system it was meant to disrupt.”  “The more financial institutions integrate Bitcoin, the more they’ll have to learn to play by its rules, not the other way around,” Patt said. When banks move to accept…