JPMorgan Chase CEO Jamie Dimon says bitcoin is ‘worthless’
Jamie Dimon, JPMorgan Chase chairman and CEO, isn’t a fan of bitcoin, the largest cryptocurrency by market value.
“I personally think that bitcoin is worthless,” Dimon said during an Institute of International Finance event on Monday, CNBC Pro reported.
But, “I don’t want to be a spokesperson — I don’t care. It makes no difference to me,” he said. “Our clients are adults. They disagree. That’s what makes markets. So, if they want to have access to buy yourself bitcoin, we can’t custody it but we can give them legitimate, as clean as possible, access.”
He’s held true to that statement: In February 2019, JPMorgan Chase said it would roll out a digital currency called JPM Coin, and in October 2020, the firm created a new unit for blockchain projects. In August, it started giving its wealth management clients access to crypto funds, CNBC reported.
For his part, however, Dimon has held firm in his anti-crypto outlook.
Recently, he told Axios CEO Jim VandeHei that bitcoin has “no intrinsic value.” And although he thinks bitcoin will be around long-term, “I’ve always believed it’ll be made illegal someplace, like China made it illegal, so I think it’s a little bit of fool’s gold.”
Dimon also told VandeHei that he thinks “regulators are going to regulate the hell out of it.”
He may be right: Recently, the U.S. government has had a heightened focus on regulating cryptocurrency markets. On Friday, Bloomberg reported that the Biden administration is weighing an executive order that would direct federal agencies to study and offer recommendations on the crypto market.
However, though increased regulation may happen, Federal Reserve chair Jerome Powell clarified at the end of September that he has no intention to ban bitcoin in the U.S.
Some financial experts argue that well-thought-out regulation would be beneficial in the U.S. “If people want crypto to become more of a mainstream asset, then I think [regulation is] a necessary first step,” Anjali Jariwala, certified financial planner, certified public accountant and founder of Fit Advisors, previously told CNBC Make It.
However, cryptocurrency supporters are wary of further regulation — they worry that certain regulatory framework may stifle crypto innovation in the U.S. and push business overseas.
Bitcoin is currently trading at around $57,501, according to CoinMarketCap, with a market value of more than $1 trillion.
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Don’t miss: Jamie Dimon says bitcoin is ‘a little bit of fool’s gold’