JPMorgan Plans Crypto Trading Services While Holding Off on Custody

Twitter icon  •  Published 4 hours ago on October 14, 2025  •  Nikolas Sargeant

JPMorgan is planning to offer cryptocurrency trading services to clients while holding off on custody for now.

JPMorgan Plans Crypto Trading Services While Holding Off on Custody

JPMorgan is preparing to launch cryptocurrency trading services for its clients as the banking giant expands its digital asset strategy, according to global head of markets and digital assets Scott Lucas. Speaking on CNBC, Lucas confirmed the plans while clarifying that direct cryptocurrency custody remains off the table in the near term as the bank evaluates its risk appetite and searches for appropriate custodian partners.

The move represents a significant shift for JPMorgan, which has historically maintained a cautious stance toward digital assets under CEO Jamie Dimon's leadership. However, Dimon's tone has evolved considerably, with the executive stating in August that he had become a believer in stablecoins and sees value in blockchain technology. This change in perspective appears to be driving the bank's more expansive approach to the crypto sector in 2025.

JPMorgan is pursuing what Lucas describes as an "and" strategy, seeking to capitalize on multiple opportunities across the digital asset ecosystem rather than focusing on a single avenue. This includes the bank's deposit token JPMD, which launched in a pilot phase on Coinbase's Base network in June, alongside partnerships with major crypto platforms like Coinbase. The bank is also monitoring the stablecoin market closely as regulatory clarity emerges.

Looking ahead, Lucas indicated that JPMorgan doesn't expect a single blockchain network to dominate the market, instead seeing opportunities across multiple layer-1 protocols and public blockchains. The executive confirmed the bank will be active in the public blockchain space in the coming quarters, though specific plans around custody and the full scope of trading services are still being developed.

JPMorgan's Expanding Crypto Portfolio

The planned trading services are part of a broader cryptocurrency push that includes plans to offer Bitcoin and Ethereum-backed lending services beginning in 2026, representing a dramatic evolution from the bank's previously skeptical stance on digital assets. JPMorgan already permits select wealthy clients to borrow against cryptocurrency exchange-traded funds, starting with BlackRock's iShares Bitcoin Trust in June, with the direct digital asset collateralization representing the next phase of this expansion.

On the organizational front, JPMorgan recently appointed Kara Kennedy as global co-head of Kinexys, its blockchain-focused division, signaling deepened commitment to digital asset infrastructure. Kennedy, based in Edinburgh, will oversee Kinexys Digital Assets and Kinexys Labs, while co-leading with Singapore-based Naveen Mallela who manages the payments infrastructure. This geographic leadership distribution enables round-the-clock coverage across major financial markets.

The bank's crypto expansion follows favorable regulatory developments, including President Trump's recent signing of the GENIUS Act, which established comprehensive stablecoin regulation. Despite embracing these opportunities, JPMorgan maintains measured expectations, projecting stablecoin market capitalization will reach $500 billion by 2028, significantly below the trillion-dollar forecasts circulating within the industry.

Bhutan Migrates National Digital ID System to Ethereum Blockchain
Next article Bhutan Migrates National Digital ID System to Ethereum Blockchain
Nikolas Sargeant

Nik is a content and public relations specialist with an ever-growing interest in Crypto. He has been published on several leading Crypto and blockchain based news sites. He is currently based in Spain, but hails from the Pacific Northwest in the US.