JPMorgan Chase CEO Jamie Dimon mentioned in a U.S. congressional listening to that crypto tokens, like bitcoin, are “decentralized Ponzi schemes.” He informed lawmakers: “I’m a main skeptic on crypto tokens which you name forex.”
JPMorgan CEO Jamie Dimon Calls Crypto Ponzi Schemes
Jamie Dimon, the CEO of JPMorgan Chase & Co., shared his view about cryptocurrencies, naming bitcoin particularly, in a congressional listening to Wednesday.
Responding to a query by Consultant Josh Gottheimer (D-NJ) in regards to the speedy growth of digital belongings, Dimon emphasised the significance of separating cryptocurrencies from different improvements that he mentioned 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 forex, 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 resembling ransomware funds, cash laundering, sex-trafficking, and theft. He emphasised that crypto is “harmful.”
The JPMorgan government additionally talked about stablecoins, which he mentioned wouldn’t be problematic with correct regulation. “There’d be nothing improper with a stablecoin, which is sort of a cash market fund, correctly regulated,” Dimon said. Relating to blockchain, he affirmed that JPMorgan is “an enormous person of blockchain.”
A longtime bitcoin skeptic, Dimon has warned buyers on a number of events to watch out about investing in cryptocurrencies, cautioning that they’ve no intrinsic value. He beforehand mentioned bitcoin is worthless and questioned BTC’s restricted provide. The JPMorgan chief, nevertheless, has repeatedly mentioned that blockchain and defi are real. In Might, the worldwide funding financial institution mentioned it expects increased 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 Might, analyst Nikolaos Panigirtzoglou printed a report stating that the financial institution has replaced “actual property with digital belongings as our most popular various asset class together with hedge funds.”
Dimon additionally lately shared his predictions about the place the U.S. financial system is headed. In August, he warned that one thing worse than a recession is coming. In June, he cautioned about an economic hurricane, advising people and companies to brace for affect.
What do you consider JPMorgan CEO Jamie Dimon’s feedback about cryptocurrencies, together with bitcoin? Tell us within the feedback part beneath.
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