- According to Business Insider, JP Morgan gave its advisers the power to buy and sell crypto products for its wealth management clients this week.
- This means that JP Morgan clients can invest in grayscale investments and Osprey funds.
- Clients will be exposed to Bitcoin and Ethereum through investment products.
JP Morgan, one of the world’s largest investment banks, has reportedly given its wealth management clients access to Bitcoin and other cryptocurrency funds.
Customers can now buy and sell five cryptocurrency products through JP Morgan consultants, Business Insider reported today, citing a note it had seen. Advisors have access to four grayscale investment products and one Osprey Funds product.
orders, starting July 19, offer clients exposure to Bitcoin, Ethereum, Bitcoin Cash and Ethereum Classic through Grayscale’s Bitcoin Trust, Bitcoin Cash Trust, Ethereum Trust and Ethereum Classic vehicles. Clients can also invest in Osprey Fund’s Bitcoin Trust, Business Insider reported.
Such funds do not mean that JP Morgan clients will personally own the cryptocurrency, they will only be exposed to it. Grayscale and Osprey are companies that allow investors to have a stake in the world of cryptocurrencies by allowing them to buy stocks that track the price of assets such as Bitcoin and Ethereum. Grayscale and Osprey do all the complicated things, like buying and holding cryptocurrencies.
Grayscale is the largest asset manager in the cryptocurrency world, currently handling $ 27.5 billion. It is owned by Digital Currency Group, a New York-based venture capital firm. But recently, the company’s shares have been trading at a discount to the price of Bitcoin. Previously, these shares were traded for a premium, which means it was more expensive to buy them than to invest directly in Bitcoin.
Business Insider added that JP Morgan consultants can only do “unsolicited” cryptocurrency exchanges – they cannot recommend products, but can and do sell products if asked by a customer.
In March, Morgan Stanley, another major investment bank, allowed wealthier investors to gain exposure to Bitcoin through Galaxy Bitcoin Fund LP, Galaxy Institutional Bitcoin Fund LP, and FS NYDIG Select Fund. Morgan Stanley, however, only made it available to clients with at least $ 2 million in bank assets.
New York-based JP Morgan is increasingly opening up to the world of cryptocurrencies. CEO of the company, Jamie Dimon, previously called Bitcoin is a “fraud” but now the company regularly speaks out from digital resources and provides banking services to the best cryptocurrency exchanges Coinbase and Gemini.
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