Bitcoin investment product filing received by SEC
Major US bank JPMorgan is finding its way to Bitcoin after all. The company is launching a crypto basket that will allow investors to indirectly participate in the BTC price trend.
Is JPMorgan Chase evolving from Saul to Paul? After CEO Jamie Dimon repeatedly made his aversion to Bitcoin and Co. clear in the past, the bank is now apparently taking a crypto-friendly course.
According to SEC documents, the largest investment bank in the USA is now even planning a dedicated Bitcoin investment product. The so-called “Cryptocurrency Exposure Basket” is a bond instrument whose performance indirectly depends on the Bitcoin price. JPMorgan Chase Cryptosoft invests in companies whose share price correlates strongly with the BTC price trend. These include stocks such as MicroStrategy (20 percent), Square (18 percent), Riot Blockchain (15 percent) and PayPal (10 percent).
The bonds are designed for investors seeking to invest in the performance of the J.P. Morgan Cryptocurrency Exposure Basket,
according to the SEC document.
JPMorgan is issuing the bonds at a price of $1,000 (USD)
They mature on 5 May 2022
The new notes continue the trend towards passive bitcoin investing. Investors have been able to participate in the Bitcoin price for some time without having to own physical BTC. This is because stocks such as MicroStrategy, Square and now also the JPMorgan crypto basket participate indirectly in Bitcoin’s price trend and thus offer institutional investors in particular a way into the crypto market.
We also deal with the institutionalisation of the crypto market in the current Kryptokompass, the leading print magazine on cryptocurrencies.