JPMorgan CEO slams crypto as ‘decentralised Ponzi schemes’

J. P. Morgan (NYSE: JPM) CEO Jamie Dimon has slogged cryptocurrencyReferring to bitcoin (B T c), nothing but a ‘decentralized Ponzi scheme’.

Dimon’s latest criticism of crypto came during US House committee oversight the hearing on Wednesday.

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Dimon Calls Bitcoin a ‘Ponzi Scheme’

JPMorgan executive, who has previously referred Bitcoin As a “fraud”, he told lawmakers that he remains skeptical about crypto and does not see how anyone can claim they have value when various scams have resulted in billions in losses.

“I am a major skeptic on crypto tokens, what you call a currency like bitcoin. They are decentralized Ponzi schemes, and the notion that this is good for anyone is unbelievable.”

Reiterating his point, he went on:

“So we sit here in this room and talk about a lot of things but there’s two billion dollars in damage every year, 30 billion dollars. And ransomware, AML, sex trafficking, theft… it’s dangerous. “

Dimon also spoke stable coins And these need proper regulation in the United States.

According to him, stablecoins should be regulated as money market funds, comments coming in the form of a proposed bill that seeks to prohibit the issuance or creation of endogenously collateralized stablecoins. Invezz. In form of informed of In late July, that bill was delayed as Congress went for recess.

JP Morgan on the Blockchain

But while Dimon is highly critical of bitcoin, he admits blockchain is real and has a value; Decentralized finance (DeFi), smart contracts and other aspects of digital assets and bookkeeping form the emerging financial technology space.

In fact, JP Morgan is rapidly moving towards blockchain-based implementation in its financial services and continues to invest In companies and startups using the technology.

The banking giant also has a custom blockchain and in-house token – JPM Coin, which it uses as a dollar deposit that institutional investors can use to collateralize short-term loans.