Whereas testifying earlier than United States (U.S.) lawmakers, JPMorgan Chase CEO Jamie Dimon referred to himself as a “main skeptic” on “crypto tokens that you simply name foreign money like Bitcoin,” labeling them as “decentralized Ponzi schemes.”

Dimon was requested what retains him from being extra lively within the crypto area throughout an oversight listening to held by the Home Monetary Providers Committee on Sept. 21.

Dimon emphasised that he sees worth in blockchain, decentralized finance (DeFi), ledgers, good contracts, and “tokens that do one thing,” however then proceeded to lambast crypto tokens that determine as currencies.

Requested for his ideas about thedraft U.S. stablecoin invoice, Dimon stated he believes that there’s nothing improper with stablecoins which are correctly regulated and that the regulation needs to be much like what cash market funds are topic to.

Dimon has as soon as described Bitcoin as a “fraud” and has reiterated previously he has no real interest in backing the sector on a private stage. He has softened his stance on crypto occasionally, as soon as highlighting that it could serve necessary use instances at occasions similar to cross-border funds.

Regardless of Dimon’s views on the cryptocurrency area, JPMorgan has been pushing into the blockchain know-how area. The monetary large launched its personal in-house stablecoin — JPM Coin in October 2020 — the primary cryptocurrency backed by a U.S financial institution, which was geared toward growing settlement effectivity.

Every week after rolling out the coin, the financial institution launched a brand new enterprise division devoted to blockchain know-how referred to as Onyx. Since then the Onyx platform has been utilized by massive institutional prospects for round the clock world funds.

JPMorgan additionally turned the primary main financial institution within the Metaverse following the opening of its digital lounge within the blockchain-based world Decentraland in February. The transfer adopted a report that was launched by the agency which referred to the Metaverse as a $1 trillion alternative.

JPMorgan has beenhiring new workers to push into the blockchain and crypto area, most lately saying on Sept. 9 that it has employed former Microsoft govt Tahreem Kamptom to be its senior funds govt. Kamptom is anticipated to assist JPMorgan discover blockchain tech given his Linkedin bio reveals he has labored on crypto-related cost strategies.

‘Most of crypto continues to be junk’ and lacks use case — JPMorgan blockchain head

Throughout the listening to, the lawmakers additionally requested different prime U.S financial institution CEOs whether or not they had plans to finance crypto mining. Citigroup CEO Jane Fraser, Financial institution of America CEO Brian Moynihan, and Wells Fargo CEO Charles Scharf all steered that their banks had no intentions of doing so.