The largest bank in the United States is providing customers with access to the cryptocurrency investment space. JPMorgan Chase submitted specific documents required for the “cryptocurrency asset risk exposure basket”, with a special mention of Bitcoin.
In the documents submitted to the official website of the US Securities and Exchange Commission (SEC), 11 stocks related to digital assets were included in the list. These include Fintech ventures that provide cryptocurrency-related services, as well as Microstrategy, PayPal, Square, Riot, and CME Group.
An article published by JPMorgan on the website of the Securities and Exchange Commission shows that all the companies on the list are related to cryptocurrency assets.
“This is an unequal-weighted portfolio of 11 related U.S. listed company stocks. They operate businesses that we believe are directly or indirectly related to cryptocurrency or other digital assets, including bitcoin custody and cryptocurrency technology products. , Cryptocurrency mining products, digital payments or bitcoin transactions, etc.”
JPMorgan Chase introduced the new “giant whale” into leading digital assets. In essence, JPMorgan Chase tried to introduce cryptocurrencies to existing customers by cooperating with listed companies that already own cryptocurrencies or are otherwise related to digital assets.
It is necessary to imply that the assets involved are constantly volatile. JPMorgan Chase highlighted this point, stating:
“During the holding period, the investment portfolio may be affected by extreme price fluctuations and rapid and sharp declines in prices. Regardless of the name of the investment portfolio, do not provide direct exposure to cryptocurrencies. Then the performance of the investment portfolio may be comparable to Bitcoin, etc. The price of a particular cryptocurrency is irrelevant.”
Among the 11 companies, the top financial technology-related crypto asset holders topped the list. When considering that the company holds more than $1 billion in Bitcoin, it is not surprising that Microstrategy is included in the portfolio list.
The CEO of Microstrategy is an outspoken Bitcoin evangelist who reiterated that the company plans to stay in the digital asset market for a long time. Like Microstrategy, Square is also committed to making Bitcoin a key asset for its company’s services.
Square bought $170 million worth of bitcoin, increasing its holdings to 5% of the company’s funds. This investment has already brought income to Square, with 1 million users buying Bitcoin on its platform in January of this year.
For JPMorgan Chase, the new development came after the Bank of America proposed that “traditional financial companies may be left behind, and digital finance will become the global darling of the financial technology industry.”
Of course, JPMorgan Chase’s influence as the world’s largest bank may enable its peers to increase investment in digital assets and diversify their digital asset portfolio in the short term.
Author/ Translator: Jamie Kim
Bio: Jamie Kim is a technology journalist. Raised in Hong Kong and always vocal at heart. She aims to share her expertise with the readers at blockreview.net. Kim is a Bitcoin maximalist who believes with unwavering conviction that Bitcoin is the only cryptocurrency – in fact, currency – worth caring about.