Jamie Dimon Takes Against Bitcoin, Calling It ‘Worthless’ – .

Jamie Dimon Takes Against Bitcoin, Calling It ‘Worthless’ – .

Dimon again attacked the major cryptocurrency, calling it “worthless” at a virtual summit on Monday.

“Personally, I think bitcoin is worthless, but I don’t want to be a spokesperson,” he said in a virtual appearance at the Institute of International Finance Meeting before adding: “ I don’t care, it makes no difference to me. I don’t think people should smoke cigarettes. “

But Dimon added that his own take on bitcoin hasn’t stopped the bank from allowing its customers to buy and sell the cryptocurrency … even though JPMorgan Chase (JPM) itself will not hold it.

“Our clients are adults, they don’t agree. This is what makes the markets. If they want to have access to buying and selling bitcoin… we can give them legitimate and as clean access as possible, ”he said.

Dimon also continues to support the idea that certain digital currencies that run on a blockchain network have value, especially if they are so-called stablecoins linked to the dollar or other government-backed currencies. The bank has its own JPM Coin for payments.

Yet Dimon’s sarcastic remarks about bitcoin come as the price of the cryptocurrency has jumped in recent weeks to around $ 57,000. Bitcoin has nearly doubled this year and is only about 12% below the all-time high of just under $ 65,000 earlier this year.

Dimon has been a bitcoin bear for the past few years – despite having soared in value along with other cryptocurrencies.

Dimon first called bitcoin a “fraud” in 2017. He added at the time that he thought bitcoin was “dumb” and “way too dangerous”.

More recently, Dimon said during an appearance on the Axios HBO show earlier this month that bitcoin was “a bit of fool’s gold” and “it has no intrinsic value.” (HBO, like CNN Business, is part of AT&T (T)– owned by WarnerMedia.)

Dimon also predicted that “the regulators will fix everything.”

Attacking bitcoin for years but crypto continues to climb

Dimon isn’t the only leading financial voice skeptical of bitcoin. Berkshire Hathaway’s (BRKB) Warren Buffett and Charlie Munger are also notable detractors of bitcoin.

But a growing number of high-tech financial companies, such as Square (SQ) and Pay Pal (PYPL), along with leading investors like Mike Novogratz, Stanley Druckenmiller, and Paul Tudor Jones, have all embraced bitcoin.

As recently as last week, George Soros’ family office revealed that he has also invested in bitcoin.

So time will tell if Dimon is right to repeatedly question the value of bitcoin. But its continued attack on the cryptocurrency seems to be falling on deaf ears to investors.

“Jamie Dimon calling Bitcoin ‘worthless’ is nothing new and has been ignored by the market,” said Nicholas Cawley, analyst at DailyFX, in a report released Tuesday.

Cawley added that since Dimon called bitcoin worse than the Dutch tulip mania bubble of the 1600s four years ago, bitcoin has gone from around $ 4,500 to its current price approaching $ 60,000.

JPMorgan Chase will release its third quarter results on Wednesday morning. Investors will tune in to see if Dimon has any further comments on bitcoin during conference calls with the media or analysts.


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