Hello everyone,

Welcome back to Fiat Bridge, where we provide curated insights for those navigating the convergence of traditional finance and cryptocurrency. As we approach the end of 2025, markets remain muted, with Bitcoin trading around its current levels after a challenging year. However, institutional signals point to sustained long-term interest.

Today's edition highlights developments that underscore the increasing commitment of major financial players to digital assets.

Let’s dive in.

In a significant step toward mainstream integration, JPMorgan Chase, the largest U.S. bank by assets, is actively considering offering cryptocurrency trading services to its institutional clients, such as hedge funds, asset managers, and pension funds.

This could include spot trading (buying and selling the actual digital assets like Bitcoin or Ethereum at current market prices) and derivatives (financial contracts whose value is derived from underlying crypto prices, often used for hedging or leverage).

While still in early exploratory stages and dependent on client demand, risk assessments, and regulatory feasibility, this move reflects rising interest from sophisticated investors who prefer bank-grade execution over retail platforms.

These clients often prioritize strong compliance, secure custody (safe storage of assets), and deep liquidity for large trades. The bank's existing blockchain work, such as tokenized funds and collateral acceptance, provides a foundation, but direct trading would mark a deeper embrace.

Coming amid improving U.S. regulatory clarity, this underscores how traditional banks are responding to institutional appetite rather than leading with proprietary bets.

For those familiar with equity or bond trading desks, think of this as potentially adding a new asset class to JPMorgan's markets division.

BlackRock, the world's largest asset manager overseeing more than $13 trillion, has named its iShares Bitcoin Trust (IBIT), a spot Bitcoin exchange-traded fund (ETF), as one of its three flagship investment themes heading into 2026. It sits alongside ultra-safe short-term Treasury bills and leading U.S. tech stocks, signaling strong conviction in Bitcoin's role in modern portfolios.

A spot Bitcoin ETF is a traditional stock-like product that tracks Bitcoin's price directly by holding the actual cryptocurrency (or equivalents), allowing investors to gain exposure through regular brokerage accounts without managing wallets or private keys.

Despite Bitcoin's year-to-date decline (its first negative annual return in three years), IBIT has attracted over $25 billion in net new inflows in 2025 alone, ranking it sixth among all ETFs by fresh capital.

This endorsement stands out because BlackRock could promote higher-fee or better-performing products (like gold ETFs), yet chooses to highlight Bitcoin amid underperformance.

I view it as a long-term bet that digital assets deserve allocation space in diversified holdings, similar to commodities or international stocks.

For traditional investors, this positions Bitcoin not as speculation, but as a potential diversifier alongside bonds and equities.

Publicly traded BitMine Immersion Technologies ($BMNR) has surpassed a major threshold, now holding over 4.06 million Ether (ETH), Ethereum's native cryptocurrency, valued at more than $12 billion. This followed a recent ~$300 million purchase of nearly 99,000 ETH, pushing its share to 3.37% of Ethereum's total circulating supply and making BitMine the largest known corporate ETH holder.

Corporate treasuries traditionally hold cash, bonds, or stocks as reserves for operations or growth. Here, BitMine is treating ETH similarly, a digital reserve asset, while maintaining $1 billion in cash for flexibility.

Ethereum powers the second-largest blockchain network, enabling smart contracts (self-executing code for applications like lending or payments) and decentralized finance. This aggressive accumulation, even during price dips, mirrors early corporate Bitcoin strategies but focuses on ETH's utility in infrastructure.

The approach highlights a new institutional race: companies building digital reserves beyond Bitcoin, potentially for yield generation (e.g., upcoming staking plans, where holders earn rewards for securing the network).

Though currently showing unrealized losses from market volatility, it demonstrates confidence in Ethereum's long-term role, akin to holding strategic commodities.

Ghana has formally legalized cryptocurrency trading and related services through the new Virtual Asset Service Providers Bill, shifting digital assets from a regulatory gray area to a supervised framework overseen by the Bank of Ghana and Securities and Exchange Commission. Providers must now register, obtain licenses, and comply with anti-money laundering rules, similar to traditional financial firms.

Individuals face no arrest risk for trading, with the focus on managing risks like fraud while fostering innovation. Ghana processed ~$3 billion in crypto transactions in a recent 12-month period, with high adoption among adults.

Looking ahead to 2026, officials plan to explore asset-backed instruments, including gold-backed stablecoins (digital tokens pegged 1:1 to assets like gold for stability).

This emerging-market blueprint enhances legitimacy, protects users, and could attract institutional flows by reducing uncertainty. For global readers, it parallels how countries regulate forex or securities: enabling participation with safeguards.

These steps, from bank trading desks to regulatory frameworks, reinforce crypto's evolution into core financial infrastructure. Price action may pause, but the bridge widens.

Thanks for reading Edition #2, share thoughts on future coverage, and I’ll see you tomorrow.