JPMorgan plans to accept Bitcoin (BTC) and Ethereum (ETH) as collateral for institutional loans by the end of 2025. This strategic move involves using third-party custodians to manage risk and represents a significant integration of digital assets into traditional finance. Previously, the bank only accepted crypto-related ETFs as collateral. The decision aligns BTC and ETH with traditional assets like gold, stocks, and bonds in JPMorgan's collateral framework, targeting hedge funds and family offices. This shift is driven by regulatory developments and increasing institutional demand for digital assets.