JP Morgan CEO Jamie Dimon Says Bitcoin Is “Decentralized Ponzi Scheme”• January 10, 2023 11:33 am • Comments
The CEO of JP Morgan Jamie Dimon has been pretty vocal about his criticism of Bitcoin and crypto in general for the past few years.
Dimon continued to share his thoughts at the 41st Annual Healthcare Conference where he called Bitcoin a “decentralized ponzi scheme”.
With that being said, investors should always look to what the financial institutions are actually doing when it comes to their investment strategies rather than what they say.
After all, despite the CEO’s negative remarks on the industry, it seems that the institution itself has already been making moves within the blockchain & crypto space.
Dimon’s remarks about crypto had also been a lot more negative a few years ago and it has been noted by many that his stance has softened up in the past few years.
JPMorgan CEO Jamie Dimon, Lambasts Bitcoin as “Decentralized Ponzi Scheme” – As soon as this guy speaks against #bitcoin it marks the exact precise end of the bear market. Happened in 2019 when he said Btc is dead as well. Thanks Jamie pic.twitter.com/BUnYLtwl5P
— Mike (@Republic_of_btc) January 10, 2023
Since then, Dimon has softened his stance somewhat and even stated that he believed blockchain technology had value.
JPMorgan itself has repeatedly dabbled into blockchain despite its boss’s negative attitude toward crypto. However, Dimon has been adamant in his critique of Bitcoin itself. Dimon considers it a speculative “asset” that can never replace real money or become an effective payment system.
He maintains that cryptocurrencies are more frequently used for illicit activities than legal ones and points to the fact that most people own them as investment vehicles — because their prices go up and down wildly — rather than for buying products and services.
Dimon is no longer directly harshly attacking crypto assets as he did in 2017, but he’s still unwilling to see them as anything more than dangerous speculation tools which do not hold real value.
It also makes sense that Dimon would say his remarks given the fact that JP Morgan is one of the cornerstones of the traditional banking system.
The rise of crypto and blockchain could potentially result in this traditional system to lose some control which would affect the financial giant’s position.
As a result, the traditional industry will likely have to evolve and adopt some of the new technologies that crypto brings in order to stay relevant.
Whether or not the adoption will be based on Bitcoin or a specific type of blockchain project is still unknown, but it seems that Dimon continues to criticize the asset for the time being.
Investors should take note of what the firm is actually doing and if it is continuing to acquire any digital assets during this bear market.
When financial mafia warning against BITCOIN 🚨🚨🚨 it's time to buy more 🚨🚨🚨https://t.co/VfRoYZPq1S
— Cryptomatic.cro (@Cryptomatic_cro) January 10, 2023
For Crypto or Against-Which is It?
One week later, JP Morgan sent a letter to clients recommending they allocate 1% of their portfolios to BTC as a hedge.
Throughout 2000 and 22,021, JP Morgan was also frequently comparing BTC to gold. One month, its analysts would say that investors preferred BTC to gold, and another month, they would say that investors preferred gold to BTC.
Never mind that BTC being lumped in with gold technically makes it a hedge asset. Now, for what it’s worth, JPM apparently still believes BTC will hit 150K in the long term, a prediction that assumes BTC will compete with gold.
Today, JPMorgan CEO Jamie Dimon denounced Bitcoin as a “decentralized Ponzi scheme.”
In 2017, he famously called Bitcoin a "scam", and said that any JPMorgan trader caught trading Bitcoin would be immediately fired. After that, however, Dimon softened his stance, pic.twitter.com/jKEG8iX7bz
— Telo Crypto News (@TeloCryptoNews) January 10, 2023
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