Bitcoin has returned to its all-time high, as unrelenting activity and interest from global institutions and governments continue to propel the cryptocurrency up.Â
Among the key events driving the boom is that JPMorgan Chase will soon begin offering its clients the ability to buy Bitcoin, a shift in Wall Street’s mindset toward cryptocurrency.
At JPMorgan’s investor day on May 19, CEO Jamie Dimon promised the bank would not directly invest in Bitcoin but would record it as an investment and make it possible for people to purchase it. Despite Dimon expressing personal skepticism about digital currencies, as in their use toward criminal endeavors, he recognized customers’ capacity to own Bitcoin. CNBC reports that JPMorgan will make Bitcoin accessible through exchange-traded funds (ETFs), something already accomplished by other large financial institutions.
The second U.S. megabank, Morgan Stanley, has already launched spot Bitcoin ETFs for qualified investors. With their launch in the U.S. in January 2024, they have attracted more than $42 billion in flows, noting robust institutional demand for crypto assets.
In the meantime, Strategy, the software technology company and captain of Bitcoin bulls Michael Saylor’s outfit, reported that it holds an enormous 576,230 BTC today. It bought them at an average price of $70,000 per unit, and today the holding is worth approximately $61 billion with an unrealized profit of more than $19 billion. The move demonstrates Strategy’s aggressive long-term perception that Bitcoin is a store of value.
Metaplanet, Japan’s largest corporate Bitcoin owner, purchased 1,004 new coins for BTC worth over 7,800 BTC, the equivalent of approximately $800 million. The company attributed its Bitcoin shift to nearly 90% of Q1 revenues in the most recent earnings report.
Ukraine has now been included in the mix, with the government drafting legislation to establish a sovereign Bitcoin reserve. The plan, developed in collaboration with Binance, would emulate El Salvador’s pioneering track record of embracing Bitcoin nationally.
In addition, US-China online business company DDC Enterprise Ltd. has pledged to hold 5,000 BTC reserves in three years, with an initial cost of 100 BTC. This is evidence of how increasingly popular Bitcoin is becoming in company treasury management.
