JPMorgan Chase CEO Jamie Dimon stated in a U.S. congressional listening to that crypto tokens, like bitcoin, are “decentralized Ponzi schemes.” He advised lawmakers: “I’m a main skeptic on crypto tokens which you name foreign money.”
Jamie Dimon, the CEO of JPMorgan Chase & Co., shared his view about cryptocurrencies, naming bitcoin specifically, in a congressional listening to Wednesday.
Responding to a query by Consultant Josh Gottheimer (D-NJ) in regards to the fast improvement of digital belongings, Dimon emphasised the significance of separating cryptocurrencies from different improvements that he stated are “actual,” like blockchain, decentralized finance (defi), and “tokens that do one thing.”
The chief opined:
I’m a serious skeptic on crypto tokens which you name foreign money, like bitcoin. They’re decentralized Ponzi schemes.
“And the notion that it’s good for anyone is unbelievable,” he continued. The JPMorgan boss proceeded to reference that billions of {dollars} are misplaced annually by way of crypto, linking cryptocurrencies to crimes reminiscent of ransomware funds, cash laundering, sex-trafficking, and theft. He emphasised that crypto is “harmful.”
The JPMorgan govt additionally talked about stablecoins, which he stated wouldn’t be problematic with correct regulation. “There’d be nothing incorrect with a stablecoin, which is sort of a cash market fund, correctly regulated,” Dimon said. Relating to blockchain, he affirmed that JPMorgan is “a giant consumer of blockchain.”
A longtime bitcoin skeptic, Dimon has warned traders on a number of events to watch out about investing in cryptocurrencies, cautioning that they don’t have any intrinsic worth. He beforehand stated bitcoin is nugatory and questioned BTC’s restricted provide. The JPMorgan chief, nevertheless, has repeatedly stated that blockchain and defi are actual. In Could, the worldwide funding financial institution stated it expects elevated blockchain use in finance.
In the meantime, JPMorgan is providing some crypto-related investments, has its personal JPM Coin, and has a lounge within the metaverse. JPMorgan’s analysts are additionally extra bullish about bitcoin and cryptocurrency than the financial institution’s CEO. In Could, analyst Nikolaos Panigirtzoglou revealed a report stating that the financial institution has changed “actual property with digital belongings as our most popular different asset class together with hedge funds.”
Dimon additionally not too long ago shared his predictions about the place the U.S. economic system is headed. In August, he warned that one thing worse than a recession is coming. In June, he cautioned about an financial hurricane, advising people and companies to brace for impression.
What do you concentrate on JPMorgan CEO Jamie Dimon’s feedback about cryptocurrencies, together with bitcoin? Tell us within the feedback part under.
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