JPMorgan CEO calls crypto ‘decentralized Ponzi schemes’



JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

Whereas testifying earlier than United States (U.S.) lawmakers, JPMorgan Chase CEO Jamie Dimon referred to himself as a “main skeptic” on “crypto tokens that you just name foreign money like Bitcoin,” labeling them as “decentralized Ponzi schemes.”

JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

Dimon was requested what retains him from being extra lively within the crypto area throughout an oversight listening to held by the Home Monetary Providers Committee on Sept. 21.

JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

Dimon emphasised that he sees worth in blockchain, decentralized finance (DeFi), ledgers, good contracts, and “tokens that do one thing,” however then proceeded to lambast crypto tokens that establish as currencies.

JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

Requested for his ideas in regards to the draft U.S. stablecoin invoice, Dimon stated he believes that there’s nothing mistaken with stablecoins which are correctly regulated and that the regulation ought to be just like what cash market funds are topic to.

JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

Dimon has as soon as described Bitcoin as a “fraud” and has reiterated prior to now he has no real interest in backing the sector on a private stage. He has softened his stance on crypto now and again, as soon as highlighting that it will probably serve necessary use instances at occasions akin to cross-border funds. 

JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

Regardless of Dimon’s views on the cryptocurrency area, JPMorgan has been pushing into the blockchain expertise area. The monetary large launched its personal in-house stablecoin — JPM Coin in October 2020 — the primary cryptocurrency backed by a U.S financial institution, which was geared toward rising settlement effectivity.

JPMorgan CEO Calls Crypto 'decentralized Ponzi Schemes'

Per week after rolling out the coin, the financial institution launched a brand new enterprise division devoted to blockchain expertise known as Onyx. Since then the Onyx platform has been utilized by giant institutional prospects for round the clock international funds.

JPMorgan additionally turned the primary main financial institution within the Metaverse following the opening of its digital lounge within the blockchain-based world Decentraland in February. The transfer adopted a report that was launched by the agency which referred to the Metaverse as a $1 trillion alternative.

JPMorgan has been hiring new employees to push into the blockchain and crypto area, most just lately saying on Sept. 9 that it has employed former Microsoft government Tahreem Kamptom to be its senior funds government. Kamptom is predicted to assist JPMorgan discover blockchain tech given his Linkedin bio exhibits he has labored on crypto-related fee strategies.

Associated: ‘Most of crypto continues to be junk’ and lacks use case — JPMorgan blockchain head

Throughout the listening to, the lawmakers additionally requested different high U.S financial institution CEOs whether or not they had plans to finance crypto mining. Citigroup CEO Jane Fraser, Financial institution of America CEO Brian Moynihan, and Wells Fargo CEO Charles Scharf all urged that their banks had no intentions of doing so.



Source

Recommended For You

Leave a Reply

Your email address will not be published.