Regardless of the continuing challenges within the cryptocurrency market, fanatics of digital belongings are satisfied that the long run is shiny for the sector. Lately, the worth of Bitcoin has proven indicators of resurgence with a notable hike in its value over the previous few weeks, following a tough begin to 2023.
However not everybody holds this similar constructive outlook, together with the CEO of JPMorgan Chase, Jamie Dimon. At a latest World Financial Discussion board (WEF) interview with CNBC, he made harsh public statements on his perspective of Bitcoin and the crypto trade.
“I believe all that could be a waste of time, and why you guys waste any breath on it’s past me,” mentioned Dimon within the interview on the sidelines of the WEF. Dimon. “Bitcoin itself is a hyped-up fraud. It is a pet rock.”
This isn’t the primary time that Dimon has publicly shared his skepticism in the direction of the crypto trade. In reality, he has been vocal about his views on digital belongings since 2017, when he first referred to Bitcoin as a “fraud.”
After the downfall of the as soon as second-largest crypto trade, FTX, final yr, he argued that the complete crypto trade is a “full sideshow.”
In response to Jamie Dimon’s unfavorable statements about Bitcoin, some have introduced counterarguments to his claims, together with CNBC anchor Joe Kernen, who challenged Dimon’s assertions throughout the interview.
Kernen argued that Bitcoin serves as a “retailer of worth” and is “immutable” and “scarce”, citing the protocol of the cryptocurrency which limits the variety of cash to 21 million.
In response, Dimon quipped, “How are you aware it may cease at 21 million? Properly, possibly it may get to 21 million and [bitcoin’s mysterious founder] Satoshi’s image goes to come back up and giggle at you all.”
Regardless of these opposing views, it is price noting that whereas Dimon could not consider within the potential of cryptocurrencies, he acknowledges the worth of the blockchain know-how that they’re constructed on.
Throughout the identical interview, he acknowledged that, “Blockchain is a know-how ledger system that we use to maneuver data. We have used it to do in a single day repo, intraday repo, we have used it to maneuver cash, proper? In order that’s a know-how ledger that we predict will probably be deployable.”
Certainly, JPMorgan has been investing in blockchain know-how since 2017, when the financial institution participated in creating an open-source blockchain initiative referred to as The Enterprise Ethereum Alliance.
The corporate additionally makes use of its personal cryptocurrency, the JPM Coin, to execute intraday repurchase agreements. Nonetheless, Dimon additionally talked about that the monetary trade has been discussing using blockchain technology for 12 years, and in his opinion, “little or no has been accomplished” when it comes to implementation.
Many within the crypto group took to Twitter after the interview to criticize Dimon’s view, together with in style crypto determine and podcaster Peter McCormack, who wrote in a Twitter submit: “As JPMorgan CEO Jamie Dimon calls #bitcoin a ‘hyped-up fraud’ lets not neglect that JPMorgan paid $2.6bn for his or her function within the Madoff fraud, the biggest Ponzi Scheme in historical past. Bernie Madoff was capable of launder billions of {dollars} by PMorgan.”
Others made enjoyable of Dimon’s lack of awareness of open supply code, noting that it is fairly straightforward to see that no shady situations may play out with Bitcoin, resembling greater than 21 million cash being created.
“How are you aware it ends at 21M?” – nicely Jamie, you see it’s within the code. The code is open supply absolutely clear … and in case you wished to vary the 21M you’d want consensus or else it might arduous fork,” one Twitter consumer responded.
