Daily Brief: July 23, 2025
Crypto Moves, Banks Bet on Digital Assets
ARK Invest is shifting focus from Coinbase to Ethereum, showing growing institutional confidence in Ethereum's potential. Meanwhile, JPMorgan is considering crypto-backed lending, marking a significant change in stance and potentially opening new credit markets. PNC Bank is partnering with Coinbase to offer crypto services, highlighting the rising trend of traditional banks integrating digital assets. These moves indicate a broader acceptance and integration of cryptocurrencies within mainstream finance, driven by growing demand and clearer regulations.
📈 ARK Invest Bets Big on Ethereum with Bitmine Stake
Cathie Wood's ARK Invest has made a bold move by purchasing over 4.4 million shares of Bitmine Immersion Technologies, a firm focused on Ethereum. This acquisition aligns with ARK's strategy to concentrate on Ethereum, as Bitmine aims to acquire and stake 5% of Ethereum's supply. This shift comes as ARK reduces its holdings in Coinbase, selling over $90 million worth of shares due to changing US crypto regulations.
Backed by notable investor Peter Thiel, Bitmine Immersion has emerged as a significant player in the Ethereum space. Alongside SharpLink Gaming, Bitmine has surpassed the Ethereum Foundation in ETH holdings, reflecting growing institutional interest in Ethereum. These companies are using strategies like staking and financial instruments to bring Ethereum into public markets.
ARK's $175 million investment in Bitmine highlights its confidence in Ethereum's potential and its institutional adoption. Despite Coinbase's recent highs, ARK's reduction in Coinbase shares signals a pivot towards Ethereum-focused strategies. While analysts remain optimistic about Coinbase's future, ARK's actions underscore its flexible approach in a rapidly changing crypto market.
Why it matters: This shift in ARK's portfolio highlights the growing institutional confidence in Ethereum's long-term value and the strategic repositioning in response to regulatory changes.
💼 JPMorgan's Crypto Lending Shift
JPMorgan, the largest US bank, is considering allowing clients to borrow cash using Bitcoin and Ethereum as collateral. This marks a significant shift from CEO Jamie Dimon's previous skepticism toward cryptocurrencies. The bank plans to use third-party custodians for these loans, distinguishing itself from competitors like Goldman Sachs, which have not yet adopted similar measures.
This change is driven by rising institutional demand and clearer regulations under the new CLARITY Act. JPMorgan's strategic pivot reflects a broader industry trend as traditional finance increasingly embraces digital assets. The bank is also exploring stablecoin offerings to compete with established players, signaling a deeper commitment to integrating cryptocurrencies into its services.
JPMorgan's potential entry into crypto-backed lending could pave the way for broader Wall Street adoption, unlocking new credit markets. While regulatory challenges like Basel III rules remain, recent legislative developments such as the GENIUS Act are encouraging institutional engagement. This move may influence other financial institutions to deepen their involvement in digital asset markets.
Why it matters: JPMorgan's move into crypto-backed lending signals a major endorsement of digital assets by a leading global bank, potentially accelerating mainstream acceptance and integration of cryptocurrencies within traditional financial systems.
🤝 PNC Bank Teams Up with Coinbase for Crypto Services
PNC Bank, the seventh-largest bank in the U.S., has teamed up with Coinbase to offer cryptocurrency services. This partnership enables PNC's 9 million clients to trade digital assets directly through their bank accounts. By using Coinbase's Crypto-as-a-Service platform, PNC aims to provide secure and scalable access to cryptocurrencies, reflecting a growing trend among traditional banks to embrace digital assets.
Initially, the partnership will focus on wealth and asset management clients, allowing them to buy, sell, and hold cryptocurrencies like Bitcoin through PNC accounts. PNC also plans to explore future applications for commercial clients, including digital payments and treasury management. This collaboration highlights the increasing demand for integrated crypto services within the banking sector.
This strategic move by PNC signals its intent to explore promising areas of the crypto market, such as stablecoins and payment settlements. As regulatory clarity improves, PNC aims to expand its digital asset offerings further. The partnership with Coinbase provides the necessary infrastructure and security to support these initiatives, positioning PNC as a leader in digital asset banking solutions.
Why it matters: This partnership signifies a major endorsement of cryptocurrency by a leading traditional financial institution, signaling increased mainstream adoption and legitimization of digital assets within the banking sector.