the staff of the Ridgewood blog
New York NY, JPMorgan Chase is taking a significant step into the world of cryptocurrency by allowing clients to invest in Bitcoin, marking a notable shift for the largest U.S. bank. The announcement came during the bank’s annual investor day on Monday, despite CEO Jamie Dimon’s longstanding and vocal criticism of Bitcoin and the broader crypto market.
“We are going to allow you to buy it,” Dimon said. “We’re not going to custody it. We’re going to put it in statements for clients.”
This move signals a broader acceptance of Bitcoin in traditional finance, especially following similar actions by Morgan Stanley, which since August has permitted advisors to offer spot Bitcoin ETFs to qualified investors.
A Reluctant Embrace of Cryptocurrency
While JPMorgan’s crypto offering is expanding, Dimon remains personally opposed to digital currencies.
“I don’t think you should smoke, but I defend your right to smoke. I defend your right to buy Bitcoin,” Dimon said.
He reiterated concerns about money laundering, ownership ambiguity, and associations with terrorism and illegal activities — issues he has long cited as reasons for his skepticism.
From “Worthless” to Wall Street Integration
Dimon has consistently downplayed Bitcoin, famously calling it “worthless” during the 2021 crypto boom and asserting in a 2023 Senate hearing that its only value lies with “criminals, drug traffickers, and tax avoiders.” At the 2024 World Economic Forum in Davos, he likened Bitcoin to a “pet rock” and declared, “This is the last time I’m talking about this with CNBC.”
Despite Dimon’s rhetoric, client demand and regulatory shifts appear to be nudging JPMorgan toward deeper crypto involvement. The bank currently offers futures-based crypto products but is now exploring access to Bitcoin ETFs, according to insiders.
Crypto-Friendly Climate Under President Trump
JPMorgan’s evolving stance comes amid federal regulatory changes under the pro-crypto Trump administration. Since President Donald Trump took office in January, the FDIC and OCC have repealed anti-crypto guidelines, and the Federal Reserve has eased restrictions on crypto custody following the withdrawal of accounting rule SAB 121.
Though banks can now custody digital assets, they remain limited in direct dealings with crypto firms, creating a cautious but growing path for traditional financial institutions to explore crypto investment opportunities.
Meanwhile, Morgan Stanley CEO Ted Pick has confirmed the firm is actively exploring expanded crypto exposure, signaling a larger institutional shift toward integrating digital assets into mainstream portfolios.
Conclusion
While Jamie Dimon’s skepticism toward Bitcoin remains unshaken, JPMorgan’s recent move shows that investor demand and market trends may be stronger than personal opinion. As Bitcoin ETFs gain traction and regulations soften, Wall Street’s slow embrace of crypto continues to accelerate.
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