14 Oct
14Oct

JPMorgan is significantly scaling up its exposure to the blockchain and crypto sectors, with plans to offer cryptocurrency trading services to its clients. This move was confirmed by Scott Lucas, the bank's global head of markets and digital assets, during an appearance on CNBC’s Squawk Box Europe.

However, Lucas clarified that directly custodying crypto for clients is currently "not on the table" or on the "horizon near-term," citing questions around the bank's "own risk appetite." He emphasized that the focus, as supported by CEO Jamie Dimon, is on trading, and that custody "would follow" later, once the bank has explored what the "right custodians" would look like.

The "And" Strategy

Lucas repeatedly referenced JPMorgan’s “and” approach to the sector, meaning the bank intends to capitalize on multiple opportunities rather than focusing on one area exclusively. This includes engaging with the existing crypto market and developing new opportunities simultaneously.

This expanded engagement is partly credited to a shift in tone from Jamie Dimon, who was once a vocal crypto-skeptic but has recently expressed belief in stablecoins and the value of blockchain technology.

Broader Blockchain Initiatives

  • JPMD and Stablecoins: The bank is enthusiastic about the potential of its deposit token, JPMD, which launched a pilot on the Base network in June, to service institutional clients. Lucas also noted that JPMorgan is responding to client demand for stablecoins.
  • Decentralized Landscape: Lucas stated that JPMorgan does not believe one network like Ethereum will monopolize the public blockchain space. Instead, he sees numerous opportunities across the market, including new Layer 1 networks, where the bank plans to get involved in the coming quarters.

In short, JPMorgan is moving to become a major player in crypto trading and blockchain innovation, adopting a broad, multi-faceted strategy while taking a cautious, measured approach to the custody side of the business.

October 2025, Cryptoniteuae

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