American banking giant JP Morgan Chase has accepted two clients involved in the emerging bitcoin sector.
U.S. cryptocurrency exchanges Coinbase and Gemini received account approvals after a long wait, according to the Wall Street Journal.
The news came just less than 24 hours after Bitcoin underwent a massively hyped “halving” upgrade.
JP Morgan Chase will offer its banking services to two U.S. bitcoin exchanges, Coinbase and Gemini.
The Wall Street banking powerhouse approved the exchanges’ application in April 2020. It will start processing a multitude of services in the coming days, which will include wire transfers, automated deposits, and withdrawals, as well as electronic fund transfers, people familiar with the matter told the Wall Street Journal.
Change of Heart
Founded in 2012, Coinbase is currently one of the U.S.’s leading cryptocurrency exchanges, catering to more than 30 million users. Meanwhile, Gemini is a small competitor – owned by the Facebook-famed Winklevoss Twins – but has been instrumental in attracting retail and institutional investors to the cryptocurrency space.
That partially explains why JP Morgan accepted clients from a perceivably demented Bitcoin industry. Both Coinbase and Gemini has emerged as a benchmark of a potential marriage between cryptocurrencies and mainstream finance. Unlike most of their peers, which operates shadily, the two U.S. exchanges are strictly compliant with the U.S. regulators.
Both Coinbase and Gemini has obtained a money services license from with Financial Crimes Enforcement Network, or FinCEN. They also have specialized New York work permits – the notorious BitLicense.
But the most notable takeaway remains JP Morgan’s change of heart towards Bitcoin. Back in 2017, just before the cryptocurrency would establish its all-time high near $20,000, JP Morgan’s CEO Jamie Dimon had called Bitcoin a “fraud.”
“It’s worse than tulip bulbs,” Mr. Dimon had told CNBC. “It won’t end well. Someone is going to get killed.” He also contended, “It’s just not a real thing, eventually it will be closed.”
Bitcoin, Halving, and Pandemic
The banking approval for Coinbase and Gemini also surfaces on popular media less than 24 hours after Bitcoin underwent a massively publicized technical upgrade called halving. On May 11’s afternoon, a pre-programmed algorithm slashed Bitcoin’s daily supply rate from 1,800 BTC to 900 BTC.
That was the Bitcoin’s third halving in its 11-years existence. Analysts believe that it makes the cryptocurrency scarcer – and therefore, more expensive against the rising demand. Bitcoin’s supply limit is 21 million tokens.
Bitcoin halving history
The ‘deflation’ narrative has emerged as a protagonist against the global central banks’ inflationary stimulus measures. Many analysts see the fiat value depreciating soon because of open-ended printing. As the Coronavirus pandemic grows, more and more central banks are resorting to fiat printing to save their economies.
Just in late March, the U.S. Federal Reserve decided to inject a massive $2 trillion liquidity into the market.
The moves had led Wall Street investors looking for hedging opportunities elsewhere. Some of them have found Bitcoin because of its conceptual resemblance to Gold, the oldest safe-haven asset. Just recently, billionaire hedge fund manager Paul Tudor Jones decided to allocate 1-2 percent of his $22bn portfolio to bitcoin.
JP Morgan’s decision to add Bitcoin businesses signify the cryptocurrency’s growing presence on Wall Street.
Photo by Sophie Backes on Unsplash origin »
“Can Bitcoin ever become an uncorrelated hedge asset, like some kind of digital version of gold?” There is perhaps no question I see more often from clients and investors alike. And personally, I would argue it is among the most fascinating in all of crypto.
London-based HSBC Holdings, one of the world’s biggest and Europe’s second largest bank, has no plans to offer Bitcoin or crypto products to its clients, a report on news outlet Reuters said today.
Each of them invested less than $100k in the new bitcoin investment vehicle.
The post Morgan Stanley’s Bitcoin Fund Gains Interest from Over 300 Wealthy Clients first appeared on BitcoinExchangeGuide.
The bank’s VP says there is “a large contingent of clients” looking for ways to participate in the crypto space and sees Bitcoin as a hedge against inflation.
The post Goldman Sachs to Start Offering its Wealthy Clients Access to Bitcoin Starting Next Quarter first appeared on BitcoinExchangeGuide.
Netherlands-based crypto exchanges are now required by law to get additional information from clients regarding their bitcoin addresses. As part of the new requirements, which went into effect on Nov.
JPMorgan Chase has reportedly started providing banking services to bitcoin businesses, with the first two clients being Coinbase and Gemini exchanges. JPMorgan also recently recommended having cryptocurrency in investment portfolios as its CEO, Jamie Dimon, changed his mind about bitcoin.
Advisors at JP Morgan and Goldman Sachs are discouraging clients from purchasing Bitcoin, claims a California-based wealth manager. Newly launched Digital Asset Investment Management risked losing an institutional client upon the two banks’ intervention.
Bityard, a leading bitcoin and altcoins contracts exchange founded in early 2020 with a USDT bonus for newly registered clients, has announced that it’s organizing a YouTube recruitment competition for content creators and it plans to give out a massive 38,000 XRP in prizes.
Crypto exchanges are witnessing dwindling Bitcoin volumes as investors continue to withdraw their coins. The trend has persisted since January with multiple exchanges recording substantial declines in the number of bitcoins held for their clients.
In an official announcement dated April 9, 2020, ErisX cryptocurrency exchange announced it had inked an alliance with $8 trillion assets giant Fidelity Investments’ digital currency arm – Fidelity Digital Asset Services – to expand safe and regulated access to crypto-assets for institutional investors.
Covid-19 hasn't kept consumers from using bitcoin (BTC) as a means of payments for goods and services according to a merchant transactions report from Coinbase Commerce. A Coinbase Commerce report shows that on 3-26-2020, clients made bitcoin transactions totaling $200 million, making this is a new 2 year milestone for the payments portal. The results […]
US bank Wells Fargo, which previously banned its clients from buying Bitcoin and other digital currencies due to “high volatility and risks,” is being sued by a former employee who charges it with mismanaging its 401k plan.
Modulus, a US-based developer of high-performance trading and surveillance technology for global equities, derivatives, and digital asset exchanges, today announced that it has had great success in accepting blockchain payments in bitcoin (BTC) from clients for services rendered in the licensing and servicing of its proprietary white-label digital asset exchange.
The Chicago Mercantile Exchange (CME), a global derivatives marketplace offering clients bitcoin (BTC) futures contracts and more, has announced plans to shut down its Chicago trading floor after the close of business on Friday, March 14, 2020, as a precautionary measure against the coronavirus pandemic, according to a CNBC report on March 11, 2020.
iTrustCapital, a Los Angeles-based firm that enables clients to buy and sell bitcoin (BTC) and other cryptocurrencies, as well as physical gold in retirement accounts on a 24/7 basis, has released its latest survey report which reveals that most millennials prefer to invest in digital assets and gold in the wake of the coronavirus pandemicRead MoreRead More.
WIth Germany's latest law regarding bitcoin exchanges and custodians, a key consideration is not only where a business is located — it’s also where its clients are.
The post How the Latest German Regulations Target Bitcoin Exchanges and Custodians appeared first on Bitcoin Magazine.
"If there was a crypto exchange-traded fund [ETF], I would buy it. I would buy it for my clients. But I don't think it is good for crypto."
These are the words of Michael Venuto, Co-Founder of TorosoThe post Bitcoin ETFs, while inviting billions in investments, might undermine BTC's ethos appeared first on AMBCrypto.
Digivault, a bitcoin and digital asset custody solution from Diginex, announced today its successful completion of the Cyber Essentials Plus certification, reinforcing its commitment to unparalleled security and providing offerings that meet the requirements of institutional clients.
Bitcoin Press Release: Crypto lending firm PawnHub has announced its partnership with a leading US-based custodian to provide $100 million in insurance coverage for its clients. 4th February 2020, Hong Kong – Hong Kong-based crypto lending firm PawnHub.
The Bitcoin SV (BSV) blockchain has undergone a hard fork at block height 620538. Clients on version 1. 0. 0 of the blockchain consider the new block valid. However, those clients which have not upgraded, of which there appears to be a sizable number, consider it invalid.
Bitcoin Cash will be available for purchase through Liechtenstein’s Bank Frick. The small bank, which has opened its services to supply leading crypto coins, will also offer BCH custody for clients.
Bank Frick, a leading European blockchain bank, has expanded its range of cryptocurrencies for which it offers trading and custodian services. Bank Frick now offers trading and secure custody of bitcoin cash (BCH) for professional market participants and wealthy private clients.
TradeStation is an online brokerage firm for securities and on 27th January announced that its clients can now trade Bitcoin Futures Options from CME and Bakkt on their recently revealed FuturesPlus platform.
TradeStation, an online broker-dealer, and futures commission merchant, today announced it now offers its futures clients the ability to trade options on Bitcoin futures contracts (BTC) from CME Group (CME).
TradeStation, an online broker-dealer, and futures commission merchant, today announced it now offers its futures clients the ability to trade options on Bitcoin futures contracts (BTC) from CME Group (CME) and Bakkt Bitcoin (USD) futures options on the Intercontinental Exchange, Inc.
BitPay, a bitcoin and blockchain payment processor, today announced that Ripple (XRP) is now live on its platform. Forthcoming support was first announced back in October 2019, live integration means that BitPay users can spend XRP directly with BitPay merchants and clients can pay BitPay invoices with XRP.
Raiz, a micro-investment Fintech company, is reportedly planning to offer retail investors exposure to Bitcoin (BTC) through its new fund. The Sydney-based financial services firm recently received approval from the Australian Securities and Investment Commission (ASIC) to offer its Bitcoin-exposed retail fund.
Bitstamp, Europe's largest crypto-exchange with respect to trading volume and one of few exchanges to receive a BitLicense in 2019, recently announced its collaboration with the U.S-based Silvergate BThe post Bitstamp's Bitcoin loan product to initially target institutional clients appeared first on AMBCrypto.
Anchorage, a digital assets custodial service provider for institutional investors, has announced the acquisition of Merkle Data, and the launch of Anchorage Trading, a crypto brokerage platform that will allow its clients to buy and sell bitcoin (BTC) and altcoins straight from Anchorage’s vaults through expert traders, without needing to transfer the assets to anRead MoreRead More.
As the allure of holding fractional reserves increases, proof of reserves can help clients of custodial platforms verify if their funds are there or not.
The post Why Proof of Reserves Is Important to Bitcoin appeared first on Bitcoin Magazine.
Signature Bank, a bitcoin (BTC)-friendly New York-based full-service commercial bank founded in 2001, has joined forces with Prime Trust, a Nevada-based tech-driven financial institution that claims to be focused on providing dependable infrastructure solutions for the digital economy.
Coinspeaker OKEx Introduces Bitcoin Options Trades for a Few Clients Before January LaunchOKEx exchange announced the launch of bitcoin options trading for a selected group of clients before the scheduled public launch of January 9, 2020, confirming that these contracts will be settled in BTC daily.
A digital asset storage company’s call to clients to sell their Bitcoin SV holdings has not sat well with the cryptocurrency’s most advent supporter. Calvin Ayre, the founder of crypto news portal CoinGeek.
BitGo, the digital currency management firm has asked its clients to consider transforming or transferring their BSV (Bitcoin SV) assets. The request to alter any funds held in this altcoin was issued as a result of a compatibility issue.
Coinspeaker TD Ameritrade-backed ErisX Launches Bitcoin Futures TodayErisX, the Wall Street-backed cryptocurrency exchange operator, said in an alert to potential clients that its market for cryptocurrency futures will kick-off today, on December 17.
ING Bank, a Dutch multinational financial services corporation with total assets of $1. 1 trillion, has announced that it’s actively working on its blockchain-based virtual currency custodial platform, to enable its clients to store their bitcoin (BTC) and altcoins securely.
As the reward halving approaches, bitcoin miners are preparing new strategies so customers can reap the most profits from their hashrate services. On December 3, the mining operation Poolin introduced a hashrate auto-switch feature so clients can automatically switch between BTC and BCH mining.
Intercontinental Exchange, the parent company of the Bakkt Exchange, is launching two derivatives products for its clients. Institutional investors in the U. S. will now be able to access Bitcoin Monthly Options, while Singaporeans will have access to cash settled futures.
Getting the right words to the right people is critical for any firm. In this digital age where information flows at the speed of light, letting users and potential backers/clients of the latest happenings in a firm can be a make it or break it situation.
The regulatory constraints that previously prohibited German banks from offering Bitcoin-related services to clients could soon become a thing of the past. New reports are coming in that once the fourth EU Money Laundering Directive comes into effect, financial institutions in Germany will have the legal and regulatory approval to offer and hold cryptocurrencies including […]
The post Bitcoin Gets a Big Boost in Germany After Banks Allowed to Offer Cryptocurrencies appeared first on BeInCrypto.
Cryptocurrencies might finally go hand in hand with traditional money services. Starting from 2020, it might be legal for German banks to sell cryptocurrencies like Bitcoin and provide custody solutions, local media reports.
Bitcoin Suisse, a crypto and blockchain solutions provider, today announced the launch of its ETH2 staking service. Clients signing up for staking on the new Ethereum 2 blockchain are expected to earn rewards from the very first block.
Canadian cryptocurrency asset broker, Voyager Digital, a licensed crypto-asset broker that provides investors with cutting-edge bitcoin (BTC) and altcoins trading solutions has formed a new partnership with Avant-Garde Trading Securities, a new broker-dealer launching in the first quarter of 2020.
Hackers are claiming a ransom of $14 million in Bitcoin after hacking about 80,000 computers in 110 nursing homes in the U. S. The affected nursing homes are clients of Virtual Care Provider Inc. that hosts all their computer data.
BitRiver, the newly launched mining farm in Siberia, is now Russia’s largest bitcoin (BTC) mining facility. Mining billionaire Oleg Deripaska’s venture is already attracting large-scale clients, reports Bloomberg.
Germany’s central bank, the Deutsche Bundesbank, has conducted a survey of banks charging negative interest rates on customer deposits. Some are charging retail customers as well as corporate clients.
Bitcoin Magazine Pro’s Bitcoin Cycle Master tool rates Bitcoin’s current price of $63,500 as fair market value, signaling potential growth based on historical trends and on-chain metrics.
Amid Middle East tensions, Bitcoin's value drops by 6%, underperforming as a safe-haven asset compared to gold and the US Dollar's rally.
The post Bitcoin fails to draw safe haven flows amid Middle East crisis: Kaiko appeared first on Crypto Briefing.
Glassnode advises Bitcoin investors to moderate their expectations for the upcoming halving, citing historical data and diminishing returns.
The post Bitcoin investors to moderate price expectations post-halving: Glassnode appeared first on Crypto Briefing.
The SEC's approval of Bitcoin ETFs has transformed the market, with inflows supporting prices and altering post-halving dynamics.
The post Bitcoin on-chain metrics are “decidedly positive” after the halving, highlights Bitfinex report appeared first on Crypto Briefing.
Soccer has the World Cup. Athletics and many other sports have the Olympics. Crypto has the halving. The milestone in the blockchain's 15-year history technically means a cut in rewards for crypto miners with each block – a feature designed to minimize inflation.
