View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
  2. Software
September 22, 2017updated 26 Jul 2022 11:34am

Bitcoin gets bad rap from JPMorgan CEO

What is your reaction to Mr Dimon's opinion of cryptocurrencies? Will they slip away into irrelevance? Or are they the future?

By Tom Ball

The chief executive of JPMorgan, Jamie Dimon, has knocked bitcoin by saying it will likely come to an end when governments shut down cryptocurrencies.

Dimon believes that governments will not allow cryptocurrencies to grow beyond a certain point, ultimately making them illegal, pushing them underground.

Cryptocurrencies have enjoyed rapidly growing popularity, with Bitcoin leading the way by breaking a number of big records this year, most recently passing the $5,000 mark for the first time.

“Right now these crypto things are kind of a novelty. People think they’re kind of neat. But the bigger they get, the more governments are going to close them down,” Jamie Dimon told CNBC.

Recently a major Bitcoin exchange in China ceased operating due to pressure from the government, an action that Dimon expects to become more widespread over time.

Mr Dimon said: “With central banks, (the money) says legal tender: you have to take this as payment. It’s very cheap to do, it’s very easy to move back and forth. JPMorgan moves $6 trillion around the world every day very efficiently, very quietly, very effectively and very cost efficient… Creating money out of thin air without government backing is very different from money with government backing.”

Bitcoin breaks $5000 before price plummets from $13bn sell-off
Bitcoin, Ether, Dash & LiteCoin – Cryptocurrency Explained
Coinbase gains unicorn status after cashing in on bitcoin boom

The price of Bitcoin as grown with a near vertical trajectory from the beginning of 2017, followed eagerly across the globe as it bassed $2,000, $3,000, $4,000 and now the $5,000 mark. One milestone that caught people’s imagination came when the price of Bitcoin surpassed the price of gold on the basis of an ounce to a single unit of the currency.

Despite these major successes, the currency has left some lacking confidence when the blockchain behind Bitcoin caused the currency to split, bringing Bitcoin Cash, another currency into existence. This was caused by Bitcoin miners, and it meant owners of the currency immediately doubled their money.

Content from our partners
How to turn the evidence hackers leave behind against them
Why food manufacturers must pursue greater visibility and agility
How to define an empowered chief data officer

Topics in this article: , , , ,
Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU