JP Morgan CEO calls Bitcoin ‘Ponzi Scheme’ regardless of serving as Licensed Participant for BlackRock ETF

JPMorgan Chase CEO Jamie Dimon reiterated his sturdy skepticism towards Bitcoin on April 18, calling it a “fraud” and a “Ponzi scheme” regardless of the lender’s involvement in BlackRock’s spot BTC exchange-traded fund (ETF).

Dimon, who has a historical past of critiquing the digital foreign money, made the newest feedback throughout an interview on Bloomberg TV, the place he expressed doubts about Bitcoin’s utility and legitimacy as a type of cash.

He stated:

“Bitcoin and related cryptocurrencies are merely not useful as currencies. In the event that they assume they’re a foreign money, there’s no hope for it. It’s basically a Ponzi scheme dressed up as tech innovation.”

Regardless of the JP Morgan CEO’s long-standing criticism of Bitcoin, the lender has been serving as an Licensed Participant for BTC ETFs since their launch and has been concerned in a number of blockchain-based initiatives for quite a few years.

Dimon acknowledged the potential of sure features of blockchain expertise through the interview, notably those who allow good contracts. He stated:

“There are parts inside the broader crypto sector, resembling these facilitating good contracts and blockchain purposes, that do current actual worth.”

The veteran banker’s feedback come amid a backdrop of fluctuating crypto values, with Bitcoin having lately rebounded to commerce across the $63,000 mark, considerably up from its lows however nicely beneath its all-time excessive.

Progress regardless of criticism

Dimon has been vocal about his issues with cryptocurrencies prior to now, citing their potential to allow unlawful actions resembling cash laundering, fraud, and tax evasion as a result of their anonymity and lack of regulation.

He has beforehand known as for extra stringent oversight to stop the monetary crimes related to cryptocurrencies.

Regardless of Dimon’s important stance through the years, the crypto market has continued to develop, with Bitcoin’s market capitalization lately surpassing $1.2 trillion. His feedback mirror ongoing debates inside the monetary group concerning the viability and security of investments in cryptocurrencies.

Business analysts counsel that whereas skepticism like Dimon’s is just not unusual amongst conventional monetary leaders, the innovation and adoption of blockchain expertise present no indicators of slowing down. As discussions concerning the regulatory framework proceed, the way forward for cryptocurrencies stays a hotly contested subject throughout world monetary markets.

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