JPMorgan Chase (JPM) is weighing deepening its involvement in crypto with a new crypto trading offering for institutional clients, according to a media report on Monday.
The investment bank is exploring how its markets unit might broaden its crypto presence by finding new products and services to offer, potentially including spot and derivatives trading, Bloomberg reported, citing a person familiar with the matter.
A pro-crypto regulatory backdrop under the Trump administration is prompting rising interest from clients, the person said. Last week, JPMorgan’s (JPM) asset management arm launched a tokenized money-market fund on the Ethereum (ETH-USD) blockchain network, amid growing interest in blockchain-based finance offerings.
Any firm decisions on what the next crypto offering might be will hinge on proven customer demand, a careful weighing of possible risks vs. benefits, as well as an assessment of what can be pursued within existing regulation, the person told Bloomberg.
Big banks this year have become more open to digital assets, as a more crypto-friendly regulatory tone has reduced uncertainty. Earlier in the month, several big banks CEOs were said to have met with both Republican and Democratic senators to discuss legislation focused on crypto market structure. Meanwhile, Coinbase Global (COIN) CEO Brian Armstrong has said that his crypto exchange is teaming up with some of the largest U.S. banks on pilot programs focused on stablecoins, custody and trading.
JPMorgan Chase did not immediately respond to Seeking Alpha’s request for comment.