During a recent interview with CNBC, JPMorgan CEO Jamie Dimon advised against getting involved in Bitcoin, the largest cryptocurrency.
“I defend your right to create Bitcoin…That’s okay. I don’t want to tell you what to do. My personal advice is don’t get involved.”
The JPMorgan boss also said this is the last time he will discuss the controversial asset on CNBC.
Blockchain, not Bitcoin
Dimon says that if a cryptocurrency has a smart contract embedded in it, it could have value. He championed the idea of tokenization with real-life use cases like real estate.
“There are cryptocurrencies that do something, that might have value. And then there’s one that does nothing, I call it pet rock. Bitcoin, or something like that.”
The JPMorgan boss has also embraced the idea of blockchain, the technology behind the largest cryptocurrency.
“Blockchain is real. It’s a technology. We use it… It’s efficient.”
However, Dimon says Bitcoin is mostly used for fraud and money laundering. “That’s the use case. Everything else is people trading with each other,” he added.
Call for a ban on cryptocurrencies
Dimon has long been a vocal critic of cryptocurrencies. His skepticism dates back to at least 2017, when he called Bitcoin a “fraud” and predicted its demise.
Dimon’s criticism of cryptocurrencies is based on concerns about their lack of regulation, the potential for illicit activity and extreme price volatility.
Despite the growing mainstream acceptance of Bitcoin, Dimon’s stance has not softened. As reported by U.Today, during a recent Senate hearing he suggested that the government go as far as banning Bitcoin.
