In a move that is expected to shift how the banking industry engages with digital assets, Coinbase on Wednesday inked a new partnership with JPMorgan Chase, the No. 1 US bank.
Beginning in 2026, Chase customers will be able to directly link their bank accounts to the US-based crypto exchange.
The bank will also enable customers to cash out points from its reward programme into Circle’s USDC stablecoin, and use Chase credit cards to fund their Coinbase accounts.
Wary banks
Calling the deal “a huge adoption unlock,” analysts at Bernstein said Coinbase will acquire new customers and access their savings activities.
The banking industry has long been wary of crypto. Analysts have previously noted that banks see digital assets as hindered by regulatory uncertainty, compliance risks, and reputational concerns.
Some banks even prevent their customers from investing in crypto due to the prevalence of scams that plague the industry.
By creating an open, two-way channel between its customers’ accounts and Coinbase, Chase is making a complete turnaround.
And it’s not the only sign things are changing. In June, Bank of America CEO Brian Moynihan signalled his firm is looking at creating a crypto stablecoin once key legislation passes.