JPMorgan CEO Criticizes Crypto Again, Calls Bitcoin a ‘Decentralized Ponzi Scheme’

Jamie Dimon – Managing Director of JPMorgan Chase & Co. He reiterated his negative attitude towards the cryptocurrency industry, calling Bitcoin and other digital assets “decentralized Ponzi schemes.”

Despite the CEO’s point of view, the multinational investment bank offers some crypto services to clients. It recently vowed to continue offering such options even after the bear market dampened some of the investor excitement in the region.

Jamie Damon strikes again

The CEO of JPMorgan is known as one of the biggest critics of the cryptocurrency sector, especially bitcoin. Over the years, he has described the assets as “worthless” and warned investors to stay away from them.

at recent days appearanceThe 66-year-old banker doubled down on his negative stance, calling him and other cryptocurrencies “decentralized Ponzi schemes”:

“I am very skeptical of digital currency tokens, which you call currency, like bitcoin. They are decentralized Ponzi schemes.”

Jamie Dimon, Source: CNBC

He went even further during his bashing spree, claiming that criminals are using digital currencies for illegal operations, including money laundering and sex trafficking.

Although there have been many similar claims from prominent figures, especially from the banking sector, evidence still points in other directions. Many banks are being penalized for their involvement in large-scale money laundering, while the blockchain technology behind every crypto asset, including Bitcoin, is completely transparent, allowing anyone with internet access to track them.

Cash remains the most widely used means by which criminals manage drugs and other transactions. Some studies estimate that between 34% and 39% of all currency in circulation is used for such activities.

Despite Dimon’s negative opinion of Bitcoin, he is not a critic of blockchain technology and stablecoins. In his view, these benefits can accrue to the financial system provided that broad regulation is applied.

Several months ago, the CEO once again praised blockchain technology and decentralized finance, saying that these technologies are “real” and can be “disseminated in public and private ways, with or without permission.”

JPMorgan Encryption Method

Last year, the Wall Street giant gave its high net worth clients access to six cryptocurrency funds. Four are from Grayscale Investments, and one is part of Osprey Funds. Sixth is a bitcoin fund developed by technology and financial services company New York Digital Investment Group (NYDIG).

In early 2022, JPMorgan set a somewhat bullish outlook for the Metaverse, predicting that the sector would become a trillion-dollar market in the coming years.

Earlier this month, the banking giant posted a job offer to hire a specialist who could lead the unit’s efforts in the Web 3 and Metaverse space.

Next, JPMorgan described that clients have lost a lot of interest in digital asset services due to the recent crypto winter. But the company promised to continue offering such options to those wishing to delve into the matter.

JPMorgan CEO After Crypto Criticizes Again, Calls Bitcoin ‘Decentralized Ponzi Scheme’ debuts on CryptoPotato.

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