Global investment bank JPMorgan has reportedly given its advisors the green light to give clients access to five cryptocurrency funds. The funds are available to all JPMorgan wealth management clients seeking investment advice. The move makes JPMorgan the first major bank to expand access to crypto trading beyond just ultra-rich customers.
JPMorgan now offers access to crypto funds
- JPMorgan has given its financial advisors the green light to give all of its clients access to cryptocurrency funds, the insider reported Thursday, citing people directly familiar with the matter.
- This move makes JPMorgan the first major bank to expand access to crypto trading beyond just ultra-rich customers, the publication said.
- In a memo distributed earlier this week, JPMorgan announced to its advisors that they will be able to take orders to buy and sell five cryptocurrency products starting July 19. Four of them come from Grayscale Investments: Bitcoin Trust, Bitcoin Cash Trust, Ethereum Trust and Ethereum Classic Trust. The fifth approved fund is the Bitcoin Trust from Osprey Funds.
- A person directly familiar with the move said the new offer applies to all JPMorgan clients seeking investment advice, including the bank’s self-directed clients using its commission-free trading app, Chase, high net worth individuals whose assets are funded by financial advisors under JPMorgan Advisors and ultra-rich clients served by the company’s private bank.
- Greg King, Founder and CEO of Osprey Funds (OTCMKTS: OBTC) told Forbes:
We are excited to be added to the JPMorgan Wealth platform. OBTC remains the cheapest publicly traded Bitcoin fund in the US and we believe JPMorgan’s clients will see the product’s value.
- JPMorgan has come a long way in terms of cryptocurrency. In 2017, CEO Jamie Dimon threatened to lay off employees who traded Bitcoin. He said in May of this year that his personal advice to people is to stay away from cryptocurrencies, including bitcoin. However, he admitted that his clients want to invest in this asset class.
- Recently, Mary Callahan Erdoes, CEO of JP Morgan Asset & Wealth Management, said that many of the bank’s clients see and want to invest in crypto as an asset class.
- With this crypto move, JPMorgan is joining a growing number of investment banks that have offered or are planning to offer some type of crypto investment or service to their clients, including Morgan Stanley, Goldman Sachs, and Citigroup. However, JPMorgan is the first company to give private customers direct access to crypto products.
What do you think of JPMorgan giving its clients access to cryptocurrency funds while Jamie Dimon has advised against investing in cryptocurrencies? Let us know in the comment section below.
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