The head of the largest US bank is one of the most prominent critics of cryptocurrencies. In front of the US Congress this week, he again launched a sweeping attack against Bitcoin & Co.
Jamie Dimon has renewed his criticism of Bitcoin. The CEO of the leading US bank JP Morgan equates Bitcoin and cryptocurrencies with a “decentralized Ponzi scheme”. The Starbanker addressed US lawmakers this week in Congress, stating that he personally is a big skeptic of cryptocurrencies. The financier had previously described Bitcoin as a “fraud”.
More generally, Dimon condemned crypto tokens masquerading as currency. “The notion that this is good for anyone is unbelievable,” he ranted at his hearing in the House Financial Services Committee on Wednesday, citing the use of cryptocurrencies in ransomware attacks, sex trafficking and money laundering, among other things.
Blockchain of great value
When asked what he thought of the stablecoins bill, the illustrious banker said he had nothing against stablecoins being properly regulated and that regulation should be similar to money market funds. At the same time, he emphasized that blockchain, decentralized finance (DeFi) and smart contracts (smart contracts) are of great value.
Despite Dimon’s harsh criticism of Bitcoin and cryptocurrencies, JP Morgan is actively integrating blockchain into its services. For example, the US lender has a token called JPM Coin for intraday repos. The token enables other financial institutions to take out short-term loans with high-quality collateral.
Swiss Sygnum Bank becomes neighbor
JP Morgan was also the first major bank to enter the Metaverse. The financial institution launched a virtual lounge called Onyx in the blockchain-based world Decentraland in February. In a study, the financial house assumes that consumers annually $54 billion for virtual goods spend.
In the metaverse, JP Morgan will soon be joined by bank Sygnum, which has its roots in Switzerland and Singapore. Sygnum plans to open Swiss bank’s first Metaverse hub in the virtual equivalent of New York’s Times Square finews.ch reported. The official launch and live stream event at Decentraland will take place on September 27th.