JP Morgan CEO Jamie Dimon has once again made his stance on Bitcoin clear. However, clients of the largest investment bank in the US are much less bearish.
Bitcoin is ‘fraud’ and ‘fool’s gold’
Despite a 17% rise in Bitcoin (BTC) price over the past week, one crypto bear remains unenthusiastic. “Personally, I think Bitcoin is worthless”. This said Jamie Dimon, CEO of JP Morgan, at the annual meeting for the Institute of International Finance. It is the latest in a succession of bearish statements from Dimon over the years.
Dimon started in 2014 when he CNBC told that Bitcoin was “a terrible store of value”. He also said that the cryptocurrency “can be replicated over and over again”.
Over the years, he has called the cryptocurrency “fraud” and “fool’s gold.” These comments obviously did not go down well with Bitcoin enthusiasts.
Jamie Dimon on BTC:
2014: “terrible store of value”
2015: “will not survive” “will be stopped”
2016: “going nowhere”
2017: “a fraud”
2018: “don’t really give a shit”
2019: [JPMCoin launch]
2020: “not my cup of tea”
2021: “I have no interest in it” “fool’s gold” “worthless”
— Ryan Selkis (@twobitidiot) October 11, 2021
Since its initial comments in January 2014, when Bitcoin traded at around $808, the leading cryptocurrency has risen in value by 7.027%. As of yesterday, prior to his last comment, Bitcoin has seen a sizable increase of 16.8% over the past seven days.
This is a major reason why JP Morgan’s clients also seem to strongly disagree with the CEO. “Our customers are adults, they don’t agree, that’s how markets work, so if they want access to buy Bitcoin for yourself, we can’t put it in custody, but we can give them legit, as safe as possible. allow access,” said Dimon.
Now, advisors working with JP Morgan are allowed to help clients buy and sell five cryptocurrency-related products from Grayscale and Osprey funds.
This includes exposure to Bitcoin, Ethereum, Bitcoin Cash, and Ethereum Classic. The advisors are not allowed to specifically present these products, but if customers ask for them, they can sell them.
‘Government will regulate’
During the meeting, Dimon also said that the cryptocurrency industry cannot avoid regulation. He said:
“It doesn’t matter what anyone in the room thinks, nor what a libertarian thinks, nor what anyone thinks, the government will regulate it.”
Stablecoins and their providers have suffered from this regulatory focus so far. A recent document from Circle, the company behind the USDC stablecoin, found that the company is “fully cooperating” with an investigation by the US Securities and Exchange Commission (SEC).
SEC chair Gary Gensler has repeatedly called for further consumer protection laws in the crypto space. “The use of stablecoins on [crypto]platforms can facilitate those seeking to circumvent a myriad of public policy goals associated with our traditional banking and financial system: anti-money laundering, tax compliance, sanctions and the like,” Gensler said earlier this month.