JPMorgan is quietly preparing to take a larger role in the digital asset space, outlining plans to roll out cryptocurrency trading services while steering clear of direct custody for now.
The move reflects a cautious but growing appetite for blockchain integration at one of Wall Street’s most influential banks.
Scott Lucas, who oversees the bank’s global markets and digital assets division, told CNBC that JPMorgan intends to engage in trading-related activity but is not yet ready to handle custody internally. He noted that internal risk assessments and regulatory clarity will determine how far the firm goes down that path.
Lucas described the bank’s current roadmap as an “and” strategy – expanding traditional services while experimenting with blockchain infrastructure. That philosophy underpins JPMorgan’s broader digital transformation, which has included partnerships with Coinbase and the development of its own deposit token, JPMD, currently being tested on Base.
The shift comes as CEO Jamie Dimon softens his stance on crypto after years of criticism. Once dismissive of digital assets, Dimon recently acknowledged the potential of stablecoins and blockchain systems for modern finance. Lucas echoed that sentiment, saying JPMorgan sees strong demand from institutional clients for tokenized cash and stable-value assets.
The bank is also exploring multi-chain possibilities rather than relying on a single blockchain. Lucas said JPMorgan expects continued competition among networks, viewing diversification as an advantage rather than a challenge.
While custody remains “off the table,” the message is clear: JPMorgan wants to expand its digital footprint through trading and blockchain applications, betting that institutional adoption of crypto-based systems will accelerate in the coming quarters.
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Source: https://coindoo.com/jpmorgan-plans-crypto-trading-push-but-keeps-custody-on-hold/
