JPMorgan announced a significant event: it has officially included Ethereum in the scope of loan collateral. This is not a small-scale internal test, but a traditional financial institution managing $40 trillion in assets has labeled ETH as a "qualified asset."

The details seem quite hardcore: smart contract automatic liquidation mechanism, ETH2.0 staking rewards included in risk control assessment, starting limit of $5 billion - the era of banks using code to reprice crypto assets has truly arrived. As soon as the news broke, institutions like Goldman Sachs and Citibank followed up overnight. The market response is very straightforward: the rules of the game are indeed changing.

But beneath this wave of enthusiasm, there is a question worth pondering: Can the endorsement of TradFi really lower our risks?

On the surface, this is an "acknowledgment" of the volatility of crypto assets; essentially, it exposes a deeper demand gap. There are collateral lending channels at the institutional level, but for most ordinary holders, collateral lending itself carries liquidation risks and market volatility pressure — not everyone can bear the consequences of being forcibly liquidated when prices drop by 50%.

This is why the topic of stablecoins has been frequently emerging recently. The market's demand for "yield-bearing assets" and "stable value circulation" is becoming increasingly urgent, but the paths to achieve this are not uniform. Some projects maintain their peg through algorithmic mechanisms, while others rely on multi-asset reserves for support, all attempting to solve the same problem: how to find a balance between the high yield of crypto and the stability of TradFi?

JPMorgan's acceptance of ETH collateral actually means that traditional finance recognizes the value of crypto assets, but it does not promise to eliminate their volatility. What does this mean for the average user? It means we need more diverse tools and strategies, rather than putting all our chips on a single collateral lending scheme.

In the coming months, focus on two lines: first, further policy adjustments from traditional institutions, and second, innovative iterations of stability solutions within the crypto ecosystem. The former represents external recognition, while the latter represents internal improvement. Both hands need to be strong for holders' asset allocation to be more stable.