JPMorgan Chase, one of the largest financial institutions in the world, has significantly increased its exposure to Bitcoin (BTC) and Ethereum (ETH) exchange-traded funds (ETFs), according to its latest 13F filing with the U.S. Securities and Exchange Commission (SEC).
The firm has allocated $984,000 in Bitcoin ETFs and $32,300 in Ethereum ETFs across multiple funds.
Among its Bitcoin ETF investments, JPMorgan has invested $523,000 in the ProShares Bitcoin ETF (BITO), $290,000 in BlackRock’s iShares Bitcoin Trust ETF (IBIT), $68,000 in the Bitwise Bitcoin ETF (BITB), $55,000 in Fidelity Wise Origin Bitcoin ETF (FBTC), and $37,000 in the Grayscale Bitcoin Trust ETF (GBTC).
For Ethereum spot ETFs, the bank holds $23,800 in the Grayscale Ethereum Trust ETF (ETHE), $6,200 in the iShares Ethereum Trust ETF (ETHA), $2,100 in the Fidelity Ethereum Fund (FETH), and $102 in the Grayscale Ethereum Mini Trust ETF (ETH).
This marks a notable increase of 30% from May 2024, when JPMorgan disclosed $760,000 in Bitcoin ETFs, reflecting an increase of over $220,000 in just a few months.
JPMorgan’s crypto ETF expansion is part of a broader institutional adoption trend, with Goldman Sachs also significantly increasing its exposure to Bitcoin ETFs. According to its latest SEC filing, the investment bank now holds $1.27 billion in BlackRock’s iShares Bitcoin Trust ETF (IBIT), amounting to 24,077,861 shares.
Additionally, Goldman Sachs disclosed a $288 million stake in Fidelity Wise Origin Bitcoin ETF (FBTC), holding 3,530,486 shares.
This represents a massive increase compared to the previous quarter, with Goldman Sachs’ Bitcoin ETF holdings surging by 88%, while its FBTC stake jumped 105%.
Digital asset investment products recorded their first major outflows of the year, with investors pulling $415 million last week as concerns over U.S. monetary policy weighed on sentiment.
The majority of outflows were concentrated in Bitcoin-based investment products, including spot ETFs, which lost $430 million.
According to CoinShares Head of Research James Butterfill, the sell-off was triggered by Federal Reserve Chairman Jerome Powell’s cautious stance on interest rate cuts.
“The U.S. central bank need not be in a hurry to cut rates,” Powell said, reinforcing investor concerns that looser monetary policy may take longer than expected.