How Institutions Plan to Trade Bitcoin in 2026–2028 Halving Cycle | US Crypto News
JPMorgan is launching structured notes tied to Bitcoin ETFs, signaling a shift from spot investing to complex derivatives for the 2026-2028 halving cycle.Summary
JPMorgan has introduced a new structured note linked to BlackRock's IBIT Bitcoin ETF, indicating a strategic shift by Wall Street institutions from spot ETFs to complex derivatives aligned with Bitcoin's four-year halving cycle (2026-2028).
This derivative product offers investors fixed returns, such as 16% by 2026 or over 50% by 2028, if BTC hits preset targets. However, it carries significant risk: investors face total principal loss if the ETF drops by more than 30% at any point before maturity. The structure incorporates features common in equity derivatives, including auto-call triggers and 1.5x leveraged upside, positioning it as a high-yield, high-volatility instrument.
The timing is deliberate, targeting the historical pattern where Bitcoin enters a deep drawdown about two years after a halving (2026) before potentially surging toward the next halving year (2028). This move suggests that institutional crypto exposure is evolving toward yield-seeking structures and derivatives rather than direct spot ownership, previewing a new wave of traditional capital engagement.
(Source：BeInCrypto)