JPMorgan Chase CEO says cryptocurrency is only useful for criminals, should be "shut down"

[midian182]

Big quote: Cryptocurrency has been around for a lot of years now, but it still has plenty of high-profile detractors. One of these is JPMorgan Chase CEO Jamie Dimon, who says its only true use case is for criminals, and that he'd "close it down" if he were the government.

Speaking at the Senate Banking Committee's annual Wall Street oversight hearing on Wednesday, Dimon said "I've always been deeply opposed to crypto, bitcoin, etc."

"If I was the government, I'd close it down," he added.

Dimon has never hidden his distaste for digital currencies, having described them as a hyped-up fraud and Ponzi schemes in the past.

Dimon said during the hearing that the crypto industry was able to move money instantaneously without the oversight of regulatory controls imposed on bankers, such as those to prevent money laundering, tax avoidance, and sanctions violations. "The only true use case for it is criminals, drug traffickers," he said. Dimon and several other CEOs of large banks argued that crypto firms should face the same regulations as other financial institutions.

Jamie "no crypto" Dimon

Senator Elizabeth Warren, who has rarely seen eye-to-eye with banking industry leaders, agreed with Dimon and the others.

"When it comes to banking policy, I am not usually holding hands with the CEOs of multibillion-dollar banks, but this is a matter of national security," said the Massachusetts Democrat.

Warren added that terrorists, drug traffickers, and rogue nations should be barred from using crypto for their dangerous activities, emphasizing that it was time for Congress to act.

Dimon might not be a fan of crypto, but his bank is a big proponent of the same blockchain technology it is based on. JPMorgan Chase's JPM Coin stablecoin, which allows clients to make blockchain-based payments, is handling $1 billion of transactions per day, a figure that could reach $10 billion within the next two years.

Several big banking organizations and figures have spoken out against cryptocurrency. The European Central Bank once called it cumbersome, slow, expensive, and on the road to irrelevance. Berkshire Hathaway CEO Warren Buffett said he wouldn't pay $25 for all the Bitcoin in the world, and his late business partner Charlie Munger called it "evil," compared it to a venereal disease, and said it should be banned.

Other anti-crypto names include Bill Gates, World Wide Web inventor Tim Berners-Lee, and even Nvidia.

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https://www.techspot.com/news/101107-jpmorgan-chase-ceo-cryptocurrency-only-useful-criminals-shut.html

 

[yRaz]

Well if we continue down our debt path then the dollar is going to worthless. Not really worried about what our government thinks of crypto if while they're destroying their own by amassing more debt than anyone civilization in history has.

 

[Uncle Al]

I like Warren Buffetts suggested solution to elliminating the debt ..... while it will never pass congress, it is a fool proof method .....

 

[ScottSoapbox]

Asking a big banker and big government politician if they like Bitcoin is like asking Google if they want search engine competition.

They all enjoy the power from their monopoly.

 

[Thanthan]

Asking a big banker and big government politician if they like Bitcoin is like asking Google if they want search engine competition.

They all enjoy the power from their monopoly.

Bitcoin isnt competition to the banking system… it’s a bigger fool Ponzi scheme. People aren’t looking to have loads of bitcoin, they’re looking to cash out in USD when the timing is right, so they can have loads of USD. That’s a critical difference to an actual monetary system.

 

[redgarl]

He is 100% right. The only reason why crypto is resilient is because it is used for criminal activities.

 

[redgarl]

Well if we continue down our debt path then the dollar is going to worthless. Not really worried about what our government thinks of crypto if while they're destroying their own by amassing more debt than anyone civilization in history has.

In the meantime, the only way to have money from crypto is by exchanging your coins in dollars... oups...

Meaning your argument is laughable...

 

[yRaz]

In the meantime, the only way to have money from crypto is by exchanging your coins in dollars... oups...

Meaning your argument is laughable...

I could start trading drugs for them, that seems like a pretty effective way of obtaining crypto

 

[umeng2002]

Monopolies hate competition.

 

[yRaz]

Ponzi scheme.

I really wish people would learn what that word means

 

[mbk34]

I also agree that it's really only beneficial to criminals. If you were selling drugs then BitCoin etc must seem like a godsend. I do find it interesting that no-one's argued against that point.

 

[letsgoiowa]

LOL he thinks government can merely "shut it down"
Good luck

 

[yRaz]

I also agree that it's really only beneficial to criminals. If you were selling drugs then BitCoin etc must seem like a godsend. I do find it interesting that no-one's argued against that point.

Something people seem to forget is that crypto is not recognized by the tax system as a currency so it is more expensive to use than a state issued currency. We could pass legislation that would make crypto useful for other things but the central banking system does not want to lose their control. A big money maker for this institutions is from the fees they use to simply process a transaction

 

[McKocoa]

Government trying their hardest to first (right now) make Crypto illiquid and closed off from the monetary market. Then outright condemned with negative innuendo by governments and Big Banks (like this article shows), and a likely attempt at banning it is next.

 

[mbk34]

Something people seem to forget is that crypto is not recognized by the tax system as a currency so it is more expensive to use than a state issued currency. We could pass legislation that would make crypto useful for other things but the central banking system does not want to lose their control. A big money maker for this institutions is from the fees they use to simply process a transaction

I suspect it's difficult to pass any laws on crypto as the people in the transaction are hidden. Institutions won't touch it for this reason as they legally have to go through elaborate KYC (Know Your Client) checks to ensure the money they're dealing with is legal. And obviously that's why illicit trade favours crypto. Only one country has made crypto a legal currency but that country is El Salvador so draw your own conclusions

 

[yRaz]

I suspect it's difficult to pass any laws on crypto as the people in the transaction are hidden. Institutions won't touch it for this reason as they legally have to go through elaborate KYC (Know Your Client) checks to ensure the money they're dealing with is legal. And obviously that's why illicit trade favours crypto. Only one country has made crypto a legal currency but that country is El Salvador so draw your own conclusions

The same is true of cash. But the same system that is used to "protect" us is also used to launder our tax dollars away

 

[Eflow]

Jamie is dead wrong.

Crypto is also used to swindle ignorant "investors" out of their hard-earned cash.

If you really want to preserve your wealth, buy a tangible asset like gold or land. Even then, you're still better off investing in stocks.

 

[RandomWAN]

In the meantime, the only way to have money from crypto is by exchanging your coins in dollars... oups...

Meaning your argument is laughable...

Other than the people who accept it as payment and other forms of taking it in trade in lieu of USD. Barter predates government controlled currency and if there are people who put value to it, then it is usable as a trading currency.

Crypto is no different than buying stocks at the base level. You're investing your time into it with the hope that it continues to increase in value. Personally, essential physical assets that gain value are the thing most worthy of investing your time in.

The only thing the USD has going for it is that it has a more stable valuation.

 

[mbk34]

The same is true of cash.

Does anyone still use cash? I can't remember the last time I went to an ATM. I have change in some of my coat pockets but I'm not sure how long it's been there or even what currency it is. I suspect if I tried to purchase a big ticket item with cash then the police would be called. Obviously in black market economies, like Greece for instance, cash is still king but few people pay their taxes there.

 

[yRaz]

Does anyone still use cash? I can't remember the last time I went to an ATM. I have change in some of my coat pockets but I'm not sure how long it's been there or even what currency it is. I suspect if I tried to purchase a big ticket item with cash then the police would be called. Obviously in black market economies, like Greece for instance, cash is still king but few people pay their taxes there.

well since you don't do it means that noone else does. It's funny how people talk about how they have adopted these new ways of transacting money and there is no need for the old way. In reality, there is a newer system and the refuse to use it for some reason.

I also find it funny that the monetary system you are defending is what created the financial crisis we're currently in.

 

[mbk34]

well since you don't do it means that noone else does. It's funny how people talk about how they have adopted these new ways of transacting money and there is no need for the old way. In reality, there is a newer system and the refuse to use it for some reason.

I also find it funny that the monetary system you are defending is what created the financial crisis we're currently in.

You're right. People's experiences do differ all around the world but I'm not defending any monetary system. My only point was that if we accept crypto as a valid currency everywhere then we're making life much easier for criminals/terrorists etc everywhere.

There are multiple reasons for the various financial issues around the world. Here in the UK it's a large part to with Brexit, in Europe it's a lot to do with the war in Ukraine and high energy prices. Across Asia it's about to be issues with globalisation faltering. At the moment 3 of the main global choke points are hit with the Panama canal running at 50%, the Suez canal exit has Yemen firing missiles at ships, and the thirdly ... actually my memory has gone blank and I can't remember what else is going wrong at the moment but I'm fairly certain there were 3 things.

Then there's almost every countries horrible demographics which suggest there'll be a big downturn in production and living standards almost everywhere over the coming years. America is actually in a fairly good position though more because of geography than good planning.

 

[VitalyT]

The dude is trying to help his short position that's getting rekt.

 

[Theinsanegamer]

They're not wrong, but big bankers are just as scummy as crypto bros. Same with the government, half the reason crypto bros got any traction is the continued war against paper currency and the fight to monitor everything we do and spend.

 

[yRaz]

You're right. People's experiences do differ all around the world but I'm not defending any monetary system. My only point was that if we accept crypto as a valid currency everywhere then we're making life much easier for criminals/terrorists etc everywhere.

There are multiple reasons for the various financial issues around the world. Here in the UK it's a large part to with Brexit, in Europe it's a lot to do with the war in Ukraine and high energy prices. Across Asia it's about to be issues with globalisation faltering. At the moment 3 of the main global choke points are hit with the Panama canal running at 50%, the Suez canal exit has Yemen firing missiles at ships, and the thirdly ... actually my memory has gone blank and I can't remember what else is going wrong at the moment but I'm fairly certain there were 3 things.

Then there's almost every countries horrible demographics which suggest there'll be a big downturn in production and living standards almost everywhere over the coming years. America is actually in a fairly good position though more because of geography than good planning.

It's funny that you brought up terrorism because many state back terrorist groups use the very systems you say are there to prevent that sort of thing from happening. Saudi Arabia and Qatar don't even try to hide they're funneling money to Hamas through Iran. The EU and US could stop it but we aren't saying anything because the EU need's Qatar's natural gas and the US needs Saudi oil. Mean while, the US Military Industrial Complex will make Billions selling weapons to anyone fighting Hamas so they aren't really in any hurry to stop it.

On a side note, I see Brexit as a good thing. Recently, the European Union has told the US Federal government that they need to crack down on state legalization of marijuana because we're violating international drug laws. The funny thing is, the US is the one who pushed the rest of the world for marijuana prohibition.

Going into the drug trade since that's what everyone says it's for, I actually have some very funny drug related stories from my time living in the Florida Keys. There was something we called a "square grouper", they were Kilos of cocaine that would wash up on shore or get caught by fishing ships. They were from smuggling ships dumping them over the side when they thought they were going to get caught. It happened surprisingly often.

I bring this up because we can see what's going on on the block chain in most crypto currencies. Even Monero isn't as "private" as it is implied to be. I think of how hard it would be to transact millions of dollars on the block chain without someone noticing it. Infact, when massive financial transactions happen over the block chain it usually makes the news. For the most part, people who own crypto currencies do so as a speculative investment. But, keep in mind, you can buy a Tesla with crypto if you want.

They're not wrong, but big bankers are just as scummy as crypto bros. Same with the government, half the reason crypto bros got any traction is the continued war against paper currency and the fight to monitor everything we do and spend.

at least the crypto bros aren't trying to pretend to be the good guys. However, if the US keeps destroying the dollar then the crypto bros are going to be laughing all the way to the.....Blockchain?

 

[Darkfungle]

Big Govt and Big Banks dont like competition. Crypto is used by criminals like romance scammers and those jerks in Lagios but it has its good points as well