Big Banks Pull In $49 Billion and Put Pressure on Crypto

The record profits are mostly coming from trading and dealmaking, which is exactly the infrastructure stablecoins and blockchain solutions are targeting. JPMorgan and Goldman Sachs are also investing in tokenization themselves.

Key Takeaways

• The five biggest U.S. banks earned a combined $49 billion in the second quarter, mostly thanks to trading, dealmaking, and financial infrastructure.
• JPMorgan and Goldman Sachs posted strong results, with record revenue and higher income from stock trading, investment banking, and underwriting.
• The bank numbers matter for crypto because stablecoins and blockchain solutions are aiming at the same payment and settlement rails.

The five largest U.S. banks brought in a combined $49 billion (€43 billion) in the second quarter, with JPMorgan Chase and Goldman Sachs leading the pack. The results show that lending is only part of the story. Trading, dealmaking, and the broader financial plumbing are still where Wall Street makes a lot of its money. That is relevant for crypto too, since stablecoins and blockchain solutions are targeting the same payment and settlement rails.

Trading and Dealmaking Are Doing the Heavy Lifting

JPMorgan reported $21.2 billion in profit, or $7.70 (€6.75) per share, which was up 41% from a year earlier. Stock trading revenue surged 86% to $6.03 billion (€5.3 billion), and total trading revenue reached a record $12.1 billion (€10.6 billion). Investment banking also had a strong quarter, with fees climbing to $3.3 billion (€2.9 billion), the highest level since 2021. The bank also booked an extra $4.6 billion (€4 billion) from a long-held Visa stake.

Goldman Sachs also posted a record quarter. The bank reported net income of $6.63 billion (€5.8 billion) and $20.98 (€18) in diluted earnings per share, with both revenue and EPS hitting all-time highs. Underwriting was a major driver, as fees from new stock issuance jumped 130% and revenue from arranging new debt rose 75%. CEO David Solomon said the results reflect the strength of the bank's global franchise and client relationships.

Bank of America, Wells Fargo, and Citigroup also reported higher profits. Taken together, the earnings show that the biggest banks are making most of their money from market activity, not just from the traditional spread on loans.

Why This Matters for Crypto

For Bitcoin, liquidity is the key thing to watch. When capital moves more freely, risk assets often benefit from the broader rally. The record trading numbers from bank desks point to a market where money is flowing quickly through the financial system, which has historically helped crypto as well.

The connection to stablecoins is even more direct. These tokens are built to move value around the clock and are increasingly viewed as an alternative to traditional payment rails. That is also why big banks are not standing still. JPMorgan has been working on tokenization and deposit tokens through its blockchain arm Kinexys for some time, while a consortium of 37 banks in Europe is developing a euro-pegged stablecoin. Competition in that market is getting tighter, in part because banks and issuers are also trying to outmaneuver each other in the stablecoin economy, as JPMorgan Sees Hyperliquid Deal as Pressure on Circle and Coinbase shows.

Banks Are Building New Rails

U.S. regulation has helped speed up that shift. The GENIUS Act gave payment stablecoins a federal framework for the first time in July 2025, making it easier for banks and issuers to understand the rules they need to follow. At the same time, other major institutions, including Bank of America, Deutsche Bank, Goldman Sachs, and UBS, are also exploring stablecoins tied to G7 currencies.

For European crypto readers, the takeaway is that tokenization is no longer a niche idea. If major banks keep rolling out their own on-chain products, competition with public blockchains and existing crypto infrastructure could get even tougher.