Financial holding JPMorgan will launch a new product – a basket of shares of companies related to cryptocurrency. The relevant documents were submitted to the US Securities and Exchange Commission (SEC).
The tool includes securities from MicroStrategy, Square, PayPal, Riot Blockchain, Nvidia, AMD, TSMC, Intercontinental Exchange, CME Group, Overstock, and Silvergate.
The largest share in the basket, at 20%, is reserved for MicroStrategy securities.
JPMorgan emphasized that the new product is not associated with any specific cryptocurrency and may not correlate with the dynamics of the digital asset market.
Investors will be able to invest in the instrument through structural notes… Income will be calculated based on the valuation of the companies in the basket minus 1.5% commission.
The minimum entry will be from $ 1000 with a maturity date in May 2022.
JPMorgan will evaluate the notes on March 26 and launch the product by around March 31.
Recall that at the end of 2020, MicroStrategy converted part of its free capital into Bitcoin. Currently, the software provider owns 91,064 BTC worth over $ 4.9 billion.
Payment company Square has converted 5% of its cash reserves to bitcoin as of December 31, 2020 .
Earlier, the head of research at JPMorgan Joyce Chan said that the bank has recorded demand for the first cryptocurrency from institutional investors.