JPMorgan Chase pitches Bitcoin fund for wealthy clients

JPMorgan Chase, whose CEO Jamie Dimon famously derided bitcoin as a fraud four years ago, is now offering an in-house Bitcoin fund to its Private Bank clients.

Why should we care?
A report this week suggests the bank is offering a Bitcoin fund to Private Bank clients, in partnership with NYDIG, a technology and financial services firm dedicated to Bitcoin solutions for institutions, private clients, and banks. Rumors of a JPMorgan Chase Bitcoin fund for Private Bank clients first emerged in April. According to this week’s report, the fund, which would be passively managed, would act as a “port” to a bitcoin exchange-traded fund (ETF), in the event the Securities and Exchange Commission (SEC) approves a crypto ETF. Although JPMorgan Chase has not sought SEC approval for a Bitcoin ETF, about a dozen other firms have. The bank will promote the fund as “the safest and cheapest bitcoin investment vehicle available on private markets.” Dimon has since softened his tone regarding the digital asset, while stopping short of singing its praises. “I am not a Bitcoin supporter. I don't really care about Bitcoin. On the other hand, clients are interested and I don't tell clients what to do,” he said in May. Earlier this summer, it was reported that JPMorgan Chase wealth management clients gained access to cryptocurrency funds through their brokerage accounts.