JPMorgan to Allow BlackRock Bitcoin ETF Shares as Loan Collateral: Bloomberg

Wall Street giant JP Morgan plants to allow its wealthy clients to use shares in crypto ETFs, like BlackRock’s iShares Bitcoin Trust, as collateral for loans.

Unnamed sources familiar with the matter told Bloomberg that the bank will also begin taking crypto holdings into account when assessing clients’ net worth and liquid assets. This would mean that crypto gets the same treatment as real estate and vehicles when assessing a client’s ability to repay a loan.

JPMorgan did not immediately respond to a request to comment from Decrypt.

The bank has had a love-hate relationship with Bitcoin.

JPMorgan CEO Jamie Dimon has long been a Bitcoin skeptic, but recently said the bank would begin allowing customers to trade Bitcoin and Ethereum.

This is breaking news and will be updated.