JP Morgan, Wells Fargo Registers Bitcoin Funds

Per a SEC filing, JPMorgan, a global investment bank, and Wells Fargo, the American financial services company, will be launching their Bitcoin funds in collaboration with the same firm, NYDIG.

NYDIG is a bitcoin technology and financial service. It is a subsidiary of Stone Ridge, a $10 billion alternative asset manager.

In the filing, JPMorgan will be entitled to certain placement and servicing fees based on referrals to the issuer.  According to it, JP Morgan Securities LLC “will receive certain placement and servicing fees with respect to clients it refers to the issuer,” which is NYDIG Private Bitcoin Fund LP.

This is not the first crypto-related fund for JPMorgan; it currently offers five other crypto investments to its clients. This includes four Grayscale Investments’ products: the Bitcoin Trust, Bitcoin Cash Trust, Ethereum Trust, and Ethereum Classic Trust, while the last one is Osprey Funds’ Bitcoin Trust.

Surprisingly, its CEO Jamie Dimon remains a vocal critic of bitcoin, which he had proven publicly by advising people to “stay away” from the flagship asset and other cryptocurrencies.

In a similar development, NYDIG has also registered another bitcoin fund with the SEC. This is in partnership with American financial services company Wells Fargo. The issuer is “FS NYDIG Bitcoin Fund I, LP.”

In this filing, Wells Fargo Clearing Services LLC and Wells Fargo Advisors Financial Network LLC “will receive certain placement and servicing fees with respect to clients they refer to the issuer.”

Earlier in August, there was a report that Wells Fargo had started offering crypto exposure to its wealth management clients, but this seems to be untrue.

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