Key Takeaways
How is JP Morgan approaching blockchain technology?
The bank is taking a “both/and” approach, leveraging its internal blockchain for client trades and exploring public blockchains like Ethereum, as well as emerging layer-one networks from Google, Swift, and Stripe.
Will JP Morgan offer crypto custody services?
Not in the near term, but custody could follow later, depending on risk appetite and market developments.
JP Morgan is set to deepen its footprint in the crypto space, signaling plans to offer cryptocurrency trading services while strategically leaning on third-party custodians rather than managing assets directly.
JP Morgan’s crypto push
Speaking on CNBC’s Squawk Box Europe, Scott Lucas, the bank’s global head of markets and digital assets, emphasized JP Morgan’s “and” approach, aiming to pursue multiple opportunities in the digital assets sector rather than limiting itself to a single avenue.
Lucas said,
“I think when it comes to how we approach this, we’re very much taking an ‘and’ approach. There’s the existing market and there’s opportunities to do new things. And those ‘and’ opportunities aren’t exclusive to one or the other.”
For those unaware, J.P. Morgan is expanding its digital asset offerings through its deposit token, J.P.M.D., and exploring stablecoins amid clearer regulations.
Leveraging its internal blockchain for client trades, the bank is also eyeing public blockchains like Ethereum [ETH] and emerging layer-one networks from Google, Swift, and Stripe.
This “both/and” approach combines proprietary infrastructure with public networks, reflecting J.P. Morgan’s push to lead in digital asset innovation.
