JPMorgan Chase & Co. plans to allow its clients to invest in an “actively-managed” Bitcoin fund. For the first time, JPMorgan is launching a new fund product directly dependent on Bitcoin’s performance.
According to CoinDesk, the fund would only be available to private wealth clients. If materialized, JPMorgan will be the largest US bank to embrace cryptocurrency as an asset class.
The JPMorgan Bitcoin fund could roll out as soon as this summer. Institutional-focus Bitcoin Investment firm NYDIG will serve as JPMorgan’s custody provider.
Back in 2017, JPMorgan CEO Jamie Dimon called Bitcoin a dangerous fraud “worse than tulip bulbs.” Last year, Dimon, who has repeatedly argued that government regulation of cryptocurrencies is inevitable, maintained that Bitcoin is “not my cup of tea.”
Bitcoin’s prices rose after the news. At the time of writing (27 April, 10:25AM HKT), Bitcoin is trading at $53,847, up 3.6% over the last 24 hours.
Tesla Sold Off $272M of Bitcoin
On the other hand, Elon Musk’s Tesla has cashed out some of its Bitcoin.
The electric carmaker bought $1.5 billion worth of Bitcoin, then sold $272 million worth during the first quarter, according to an earnings release Monday. The sales of Bitcoin resulted in a $101 million “positive impact” toward Tesla’s profitability.
According to CEO Elon Musk, Tesla “sold 10% of its holdings essentially to prove liquidity of Bitcoin as an alternative to holding cash on the balance sheet.” He also noted that he has his own separate stack of Bitcoin remains unsold.
As another signal of crypto mainstream adoption, NFL’s ‘No.1’ draft pick Trevor Lawrence joins Blockfolio. He will receive his bonus paid out in a mixture of Bitcoin (BTC), Ethereum (ETH) and Solana (SOL).
Lawrence has reportedly signed a multi-year deal with crypto investment app Blockfolio. Lawrence will receive part of his signing bonus in crypto as part of the deal, which will be deposited directly into his Blockfolio account.
Also, Lawrence will help educate newcomers with cryptocurrencies by using the Blockfolio app to showcase how users can buy, sell and trade crypto with no fees.
For now, crypto still hasn’t reached mass adoption in the US. Some reports suggest that less than 10% of the country’s population owns cryptocurrencies. Getting the football star on board Blockfolio can be a significant strategy to the mental barrier of crypto’s adoption.