JPMorgan Chase has announced plans to enable institutional clients to leverage their Bitcoin (BTC) and Ethereum (ETH) holdings as collateral for loans, a move expected to be fully implemented by the end of 2025. Unlike previous approaches relying on ETFs or other proxy instruments, this offering will directly use crypto assets themselves as security for borrowing funds, with JPMorgan utilizing an independent third-party custodian to safeguard these assets. This initiative marks a significant advancement in integrating digital assets into financial services, following the bank’s earlier acceptance of crypto-linked ETFs as collateral. This development is seen as a critical step toward mainstreaming cryptocurrency usage within institutional finance and away from speculative markets.