JPMorgan Chase (NYSE: $JPM) is loosening its approach to lending against shares held by employees and early investors in newly listed companies like SpaceX (NASDAQ: $SPCX) as Wall Street races to capture the growing wealth created by the AI boom.
The bank has traditionally avoided accepting shares as collateral for 135 days after a company goes public. However, ahead of SpaceX’s much-anticipated initial public offering in June, JPMorgan told bankers it could lend against the rocket and AI company’s shares before that period had expired, the Financial Times reported on Tuesday, citing people familiar with the matter.
Bankers at the US lender expect a similar approach could be considered for Anthropic, the company behind the Claude chatbot, if it proceeds with an IPO. JPMorgan earned about $75 million from its work on the SpaceX listing.
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“JPMorgan’s reported willingness to lend against newly listed shares before its usual 135-day window reflects a shift in how modern wealth is treated,” Artem Ponomarev, founder and chief executive of XPlace, told Cryptoprowl.
“The question now turns to whether an asset has sufficient liquidity and reliable price discovery to support borrowing, rather than simply how long it has been held,” Ponomarev added.
Employees at leading AI labs can receive stock worth millions, and in some cases tens of millions, making their equity an important target for private banks and wealth managers. Borrowing against shares can allow wealthy investors to access cash without selling their holdings and potentially triggering large tax bills.
Notably, lending against newly listed stock carries risks. Prices can swing sharply, trading volumes may be limited, and lock-up agreements can restrict sales after an IPO.
JPMorgan said its policy has not changed and that lending decisions are made individually, taking factors such as market liquidity into account.
Ponomarev told Cryptoprowl that digital assets could eventually offer similar flexibility, “as they trade around the clock and on-chain collateral can be monitored continuously.”