In 2017 JP Morgan Called Bitcoin a Fraud, But in 2021 It Is Creating a Bitcoin Fund

JP Morgan Chase has decided to create an actively managed bitcoin fund for wealthy clients, according to a report by CoinDesk.

JPMorgan’s bitcoin fund could launch as early as this summer, two sources told CoinDesk. Institutional bitcoin store NYDIG will serve as custody provider for JPMorgan, a third source said.

The report comes as the cryptocurrency rebounded from last week’s losses on Monday, and its price rose above $55,000.

If confirmed, this would be the largest and most unlikely mega-bank to embrace crypto as an asset class. In 2017, JPMorgan CEO Jamie Dimon described bitcoin as a dangerous fraud, threatening to “fire in a second” any employee who touched the cryptocurrency. “If you are stupid enough to buy it, one day you will pay the price for it,” he said then.

JPMorgan launched an investment product related to cryptocurrencies in March, but the new fund will be the first to directly depend on the performance of bitcoin.

Investment bank Morgan Stanley, with $4 trillion in client assets, was the first to “offer its wealth management clients access to bitcoin funds,” CNBC reported in March.

Goldman Sachs also plans to help wealthy clients invest in digital assets, reported Barron’s magazine the same month.

Featured image: JPMorgan will offer bitcoin funds. (Photo: File).

(Mision Verdad)

Translation: Orinoco Tribune

OT/JRE/SL