Topline
Jamie Dimon, the billionaire CEO of the U.S.’ largest bank JPMorgan Chase, offered what he said would be his last-ever takedown of bitcoin Wednesday, maintaining his long-held attitude toward the $830 billion cryptocurrency even after last week’s breakthrough for institutional investment in bitcoin involving JPMorgan.
Key Facts
Bitcoin is akin to a “pet rock” because it “does nothing,” Dimon said on CNBC’s “Squawk Box” from the World Economic Forum in Davos, Switzerland.
Dimon explained the only “real use cases” for bitcoin are criminal activities like sex trafficking and money laundering, echoing his prior criticisms of the massive digital asset.
In what Dimon characterized as “the last time” he’d ever talk about bitcoin, he suggested that bitcoin derives the rest of its value from paper trading rather than serving a tangible purpose, but still believes investors have a right to buy bitcoin because it’s a “free country.
Dimon’s still-dismissive attitude toward bitcoin notably comes a week after regulators approved bitcoin exchange-traded funds, the first-ever investment vehicles enabling backers to invest in real-time bitcoin prices via standard security exchanges.
Crucial Quote
“I don’t care, just please stop talking about this shit,” the billionaire Dimon responded to CNBC’s question on whether other traditional financial institutions’ issuance of the new ETFs changed his mind on bitcoin at all.
Surprising Fact
Despite Dimon’s blasé reaction, JPMorgan is intimately involved with the new bitcoin fund. JPMorgan is one of two authorized participants for BlackRock’s bitcoin ETF, meaning it facilitates capital flows in and out of the fund.
Key Background
Among the sharpest critics of bitcoin for several years, Dimon said in 2017 it won’t “end well” for bitcoin investors and the currency will eventually be worthless. Bitcoin is up about 1,000% over the last six years. Despite bitcoin’s strong return on investment, Dimon has often been proven right about bitcoin’s association with criminal enterprises, as crypto funded terrorist organizations and the founders of the two largest crypto exchanges have been arrested by U.S. authorities for fraud.
Big Number
About $2 billion. That’s how much new money was sunk into the 11 approved spot bitcoin ETFs during the funds’ first three days of trading.
Further Reading
This news is republished from another source. You can check the original article here