For years, the traditional financial sector has viewed the world of cryptocurrencies with suspicion. With the majority of the leaders of the banking sector expressing their distaste for this new technology, and denying that it has a chance to replace fiat money in the long term. And today, despite the advances experienced by the crypto world, some seem to maintain this position, being the case of the CEO of JP Morgan, who recommends staying away from Bitcoin.
Financial institutions and Bitcoin
Traditional financial institutions have never gotten along with Bitcoin. On the contrary, for many years, the big investment banks rejected the idea that a virtual currency could be useful in any way. Qualifying BTC and other cryptocurrencies as speculative assets, and refusing to prepare products and services related to them.
This has forcibly changed in recent months. And it is that, the great bullish rally of Bitcoin that began at the end of last year, has positioned BTC as one of the most demanded financial assets in the world. By imposing a cost on traditional financial institutions if they continue to refuse to carry out operations with crypto assets. Leading to that many of them have already created products and services related to the crypto world.
Of course, this does not mean that these institutions wholeheartedly support cryptocurrencies. On the contrary, in most cases these institutions have created these products and services against their will, in order to respond to the demand of their wealthiest clients. Which are interested in participating in the crypto market. This is why JP Morgan CEO Jamie Dimon remains skeptical of Bitcoin.
JP Morgan CEO gives his opinion
Thus, Jamie Dimon would have reaffirmed his position regarding cryptocurrencies in a hearing of the Financial Services Committee of the United States House of Representatives. During which, Congressman Warren Davidson asked the CEO of JP Morgan about his position on Bitcoin. To which Dimon responded by recommending staying away from cryptocurrencies:
“My personal advice to people is to stay away from them. That doesn’t mean that customers don’t want them. This goes back to how you have to run a business. I don’t smoke marijuana, but if they make it nationally legal, I’m not going to stop our people from using it. I don’t tell people how to spend their money (…) My personal opinion is that it is nothing like a fiat currency, it is nothing like gold. Buyers beware, ”commented Dimon.
In this way, the CEO of JP Morgan would be reaffirming the position that he has been maintaining for years. Proving that despite the new financial products and services related to cryptocurrencies, the majority of institutions continue to oppose the development of the crypto world.