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Cryptocurrency exchange Coinbase has announced a partnership with JPMorgan Chase to launch new digital asset services for its customers. Starting in the fall of 2025, Chase credit card users will be able to purchase cryptocurrency directly through Coinbase using their Chase credit cards.
In another surprising move, Coinbase revealed plans for customers to redeem their Ultimate Rewards Points as a stablecoin pegged to the US dollar, known as USD Coin (USDC), starting in 2026.
This marks the first instance of a major rewards program from a credit card that offers cryptocurrency as a redemption option. Additionally, customers will have the option to link their Chase accounts with Coinbase, making it easier to purchase and manage their cryptocurrency assets.
The alliance signifies that JPMorgan is pursuing a wider strategic initiative within the digital finance sector. During an earnings call on July 16, JPMorgan CEO Jamie Dimon discussed the bank's growing interest in blockchain-based assets. He mentioned that JPMorgan plans to enhance its involvement with stablecoins, including the JPMorgan deposit coin and other tokenized cash equivalents.
According to several reports, the renowned bank is also considering crypto-backed loans. JPMorgan is reported to contemplate providing a direct lending product with Bitcoin and Ether as collateral (Financial Times). Such projects are likely to be rolled out in 2026, and they are still under consideration and dependent on market conditions.
Also Read: California Launches Breakthrough Project With Ripple and Coinbase to Boost Efficiency
As JPMorgan comes closer to introducing crypto-secured loans, decentralized finance (DeFi) on the platforms still has considerable benefits in this sphere. One of the advantages of using DeFi over traditional finance, according to Sergej Kunz, co-founder of the DeFi aggregator 1inch, is increasing the variety of assets that can be used as collateral, as well as reducing the cost of using the product due to competition in the market.
There is an increasing overlap between traditional financial institutions and digital assets. With JPMorgan becoming more active in its collaboration with Coinbase, the integration of cryptocurrency services into mainstream banking continues to grow.
The evolving relationship between JPMorgan Chase and Coinbase may influence how banks view blockchain technology, stablecoins, and tokenized assets in the future. As regulations become clearer and more financial institutions adopt these innovations, they are likely to do so to meet consumers’ needs and maintain competitiveness.
