JPMorgan Chase CEO Jamie Dimon reiterated his longstanding skepticism about BTC despite his company’s role in the BlackRock Bitcoin ETF.
In a recent interview with Fox, JPMorgan CEO Jamie Dimon once again expressed his negative views on Bitcoin and the cryptocurrency industry in general, citing concerns about illicit activities. This contradictory stance comes as JPMorgan’s participation in Grayscale’s proposed Bitcoin exchange-traded fund (ETF) is being considered as an authorized participant.
JPMorgan CEO Dimon’s Criticism of Bitcoin
During the interview, Dimon commented: “I have always said that Bitcoin has no value. Actual use cases are sex trafficking, tax evasion, money laundering and terrorist financing. “It’s not just about people buying and selling Bitcoin.”
These comments echo his previous statements made during a Senate Banking Committee hearing where he expressed his opposition to cryptocurrencies and suggested shutting them down if he were in government.
Previously, in 2021, Dimon stated that “Bitcoin BTC -2.80% is worthless. Our clients are adults, they disagree, that’s what makes markets, so if they want to have access to buy Bitcoin, we can’t custody it but we can give them legitimate, as-clean-as-possible access.”
The CEO of JPMorgan had previously called Bitcoin “an exaggerated fraud,” although he later retracted his comments. However, his recent statements suggest that distrust of cryptocurrencies persists in the financial leader.
Interestingly, Grayscale Investments, the asset management firm behind one of the proposed Bitcoin ETF applications, is in talks with several companies, including JPMorgan, for possible participation in the ETF.
JPMorgan is being considered an authorized participant, responsible for creating and redeeming shares of the fund. JPMorgan is also named as an authorized participant for the Invesco Galaxy Bitcoin ETF.
Authorized participants play a crucial role in ensuring that the ETF’s share price aligns with the underlying assets and provides liquidity.
Conflicting Narrative
JPMorgan Securities has also been named an authorized participant for BlackRock’s proposed Bitcoin ETF, along with Jane Street Capital. Despite Dimon’s critical stance on Bitcoin, JPMorgan’s possible involvement in multiple Bitcoin ETF initiatives indicates a conflicting narrative within the institution.
Comments made by Dimon regarding Bitcoin’s association with illicit activities have been met with criticism from industry observers. While concerns remain about the illicit use of cryptocurrencies, proponents argue that the technology’s transparency and traceability make it better suited to combating financial crimes compared to traditional systems.
As the cryptocurrency community awaits regulatory approval for Bitcoin ETF applications, the involvement of JPMorgan and other major institutions in these initiatives remains a topic of interest. The possible inclusion of traditional financial players in the cryptocurrency space could mean a significant change in the perception and acceptance of digital assets by the mainstream financial industry.
In anticipation of the upcoming ruling by the US Securities and Exchange Commission (SEC) regarding ETF filings proposed by major asset managers around the world, Bitcoin has seen a recovery, surpassing the $46,000.
BTC is currently trading at $46,400, reflecting an uptrend of 9.8% over the past seven days, with a slight decline of 0.7% over the past 24 hours. This drop can be attributed to the spread of fake news on Tuesday, falsely claiming an SEC approval announcement. However, the regulator clarified that the SEC’s X account was compromised.
By Audy Castaneda
