The shares of JPMorgan Chase (JPM) rose on Friday after reports emerged that the largest U.S. commercial bank is making preparations to permit its institutional clients to obtain loans using foremost digital assets, Bitcoin and Ether, as collateral.
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JPM stock edged up about 2% to reach almost $300 per share, as of 10:31 a.m. EDT.
According to Bloomberg, which spoke with insiders, these tokens will be secured by a digital asset custodian. The move is in addition to the U.S. banking titan’s earlier plan to enable its clients to also use their cryptocurrency-based exchange-traded funds to secure loans.
Wall Street Opens More Crypto Doors
The update comes as Wall Street banks are becoming more open towards the integration of cryptocurrencies into the lending system. This is even as JPMorgan’s chief executive Jamie Dimon, known for his past anti-crypto campaign — he once called bitcoin a “fraud” — appears to have recently tempered his view on the digital currencies.
In addition, the development aligns with the Trump administration’s friendlier approach to digital assets. The U.S. government recently passed the GENIUS Act that permits a dollar-backed stablecoin, following an earlier move by President Donald Trump permitting key digital assets to be stored as strategic reserve.
Back to Wall Street, top banker Morgan Stanley (MS) is also reportedly working behind the scenes to offer its wealth-management clients access to crypto investment opportunities. The financial services company has also teamed up with crypto startup ZeroHash to open its online brokerage platform E-Trade to crypto trading.
Is JPM a Buy, Sell, or Hold?
On Wall Street, JPMorgan Chase’s shares currently have a Moderate Buy consensus rating. This is based on 11 Buys and six Hold issued by 17 analysts over the past three months.
However, the average JPM price target of $338.77 indicates about 13% growth potential from the current level.
