Some sources close to the subject have informed CoinDesk that JPMorgan’s Bitcoin fund may be launched this summer. NYDIG will be the fund’s custodian.
The latest, largest US mega-bank to make such a move, and the least likely to adopt crypto as an asset class – if its CEO’s documented discontent for Bitcoin is any indication – JPMorgan Chase is poised to offer certain clients an actively managed Bitcoin fund.
Two sources familiar with the matter told CoinDesk that the JPMorgan Bitcoin fund could be launched this summer. A third source said that corporate Bitcoin store NYDIG will serve as JPMorgan’s custodian. Galaxy and NYDIG are currently offering Bitcoin funds to Morgan Stanley clients.
According to multiple sources reported to CoinDesk, JPMorgan’s Bitcoin fund will be actively managed.
JPMorgan CEO Jamie Dimon described Bitcoin as a dangerous scam in 2017. Dimon, who has repeatedly argued that government regulation for cryptocurrencies is inevitable, although he has quickly withdrawn the “fraud” label and recently reduced his rhetoric, late last year, he argued that Bitcoin is “not his style.”
Despite his CEO’s personal hatred for crypto, top proxies in the Corporate and Investment Banking division acknowledged in February that customer demand could force the organization to change.
A knowledgeable source told CoinDesk that the JPMorgan fund would be for private asset clients. If JP Morgan manages this, it will be the largest US-based bank to start working with Bitcoin as an official asset.