What JPMorgan and Coinbase are building could outlast both crypto narratives and banking interfaces

JPMorgan and Coinbase are launching a multi-phase integration that brings crypto access and payments directly into the core of U.S. consumer banking. What’s cooking?

JPMorgan and Coinbase break new ground

In late July 2025, JPMorgan Chase and Coinbase announced a strategic partnership aimed at integrating crypto access directly into the daily financial routines of millions of Americans.

The partnership introduces a set of features that connect Chase’s traditional banking infrastructure with Coinbase’s digital asset services in a more direct and secure way.

Chase account holders can now link their bank accounts directly to Coinbase wallets without relying on third-party payment apps, allowing them to move funds between fiat and crypto instantly, all within JPMorgan’s banking environment.

The integration extends to credit cards as well. Chase customers will soon be able to use their Chase credit cards to buy crypto on Coinbase, creating a native payments layer that has not previously existed between major U.S. banks and crypto exchanges.

Another notable feature is the ability to convert credit card rewards into crypto. Customers using Chase’s Ultimate Rewards program will be able to redeem points for USD Coin (USDC), a regulated, dollar-pegged stablecoin.

The conversion rate is set at 100 points per one dollar worth of USDC, marking the first time a major U.S. bank enables reward points to be redeemed for crypto directly, without requiring gift cards or third-party platforms.

The rollout will take place in phases. Credit card support on Coinbase is expected to launch in fall 2025, while the reward point conversion feature and direct account-to-wallet linking will be introduced in 2026.

Once fully rolled out, the system will offer nearly 80 million Chase users the ability to move between traditional finance and crypto through a unified interface.

Executives from both companies have described the partnership as a practical step toward improving access and reducing friction.

JPMorgan’s Head of Payments Innovation, Melissa Feldsher, said the move gives customers more ways to use their money and rewards within a trusted financial framework.

Max Branzburg of Coinbase described it as a way to lower barriers and increase everyday engagement with blockchain-based finance.

Why big banks are embracing crypto

Just a few years ago, major financial institutions remained distant from crypto markets. JPMorgan, in particular, took a cautious approach. Its CEO, Jamie Dimon, repeatedly criticized Bitcoin, calling it a fraud, and the bank blocked credit card purchases related to cryptocurrencies.

That position has now shifted. JPMorgan is not only enabling crypto transactions but also supporting the conversion of credit card rewards into digital currencies.

Several factors have contributed to this change. As crypto becomes more embedded in everyday finance, institutions increasingly view integration as a necessary response to evolving customer expectations rather than a risk.

Analysts at Bernstein have described the JPMorgan-Coinbase partnership as a long-term structural alignment and believe the convergence of fiat and crypto systems could lead to a new class of financial products.

These may include tokenized savings mechanisms, blockchain-based lending tools, and on-chain payment infrastructure designed to operate independently of legacy networks.

BCA Research expects this trend to accelerate as regulatory clarity improves.

One key development is the GENIUS Act, a recently passed U.S. law that defines the regulatory treatment of stablecoins. With such legal foundations now in place, broader institutional adoption is expected to follow.

Several banks are already advancing on this front. BNY Mellon, the oldest bank in the United States, recently announced it will act as the official custodian for reserves backing Ripple’s stablecoin, Ripple USD (RLUSD).

In Europe, the same institution is working with Société Générale to support the infrastructure behind the French bank’s euro-backed digital currency.

U.S. consumer banks are also progressing. PNC Bank, the seventh-largest in the country, is working with Coinbase to integrate crypto buying and storage capabilities within its mobile app.

Fintech firms are moving in the same direction. Green Dot, known for its digital tools and prepaid cards, has partnered with Crypto.com to deliver embedded crypto-related banking services to U.S. users.

At the infrastructure level, global payment companies like Visa continue to expand on-chain capabilities. The company now supports stablecoin transactions on public blockchains, with the goal of reducing settlement times and improving cost efficiency for its partners.

JPMorgan’s parallel track

While the Coinbase partnership brings crypto access closer to retail users, JPMorgan is also investing in parallel infrastructure that could reshape how money moves within its own ecosystem.

Around the same time as the Coinbase announcement, JPMorgan launched a pilot for a blockchain-based deposit token known as JPMD.

The token operates on Base, the Ethereum layer two network developed by Coinbase, and is aimed at institutional clients looking for faster, more programmable settlement options.

Deposit tokens differ from stablecoins. They represent actual customer deposits held at a bank and remain on the bank’s balance sheet, making them eligible for interest, immediate withdrawal, and protection under existing deposit insurance frameworks.

JPMorgan’s digital assets division, Kinexys, describes them as instruments that maintain the regulatory standards of traditional finance while enabling continuous on-chain settlement. They include built-in controls for anti-money-laundering and sanctions compliance, both essential for regulated institutions.

The proof-of-concept on Base is currently available only to approved JPMorgan clients. It supports near-instant transfers between JPMorgan accounts on-chain, with settlement speeds measured in fractions of a second and transaction costs under one cent.

Taken together, JPMorgan’s dual moves, partnering with Coinbase for user access, and piloting deposit tokens for internal use, suggest that the bank is going pro-crypto on all fronts. 

What happens next

As JPMorgan and Coinbase prepare to roll out their integrated services, their performance may shape how quickly other banks begin offering similar tools.

If users find it intuitive to move funds, earn rewards, and manage crypto through their existing banking interface, demand for comparable services could grow rapidly.

For everyday consumers, the experience may become more seamless. Instead of relying on multiple apps to track assets, a single dashboard could display bank balances, crypto holdings, reward points, and investments together.

The ability to convert reward points into stablecoins, pay for purchases with digital assets, or schedule recurring crypto investments through a debit card could unlock new financial behaviors.

Additional use cases may emerge. Credit card points could be automatically directed into crypto assets as part of monthly account activity. Crypto earnings might be routed toward mortgage repayments or other scheduled banking obligations.

Retail users may find greater value in loyalty programs that offer flexible redemption options, including tokenized versions of traditional benefits such as travel miles or cashback.

Institutional involvement also raises important questions around security and education. While partnerships like this can strengthen trust and usability, they do not eliminate the risks that come with digital assets.

Users may still encounter volatility, price fluctuations, or irreversible transactions. Financial institutions will need to build safeguards, support systems, and clear communication to ensure new users are protected and well-informed.

As financial services begin to integrate blockchain assets natively, the user experience could evolve to a point where crypto no longer feels separate, but simply part of the everyday tools people use to manage money.