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Jamie Dimon: If you borrow money to buy Bitcoin, you’re a fool

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Jamie Dimon: If you borrow money to buy Bitcoin, you’re a fool. Bitcoin (BTC) may rise in price tenfold in the next five years. But this is not a reason to buy it. JPMorgan CEO Jamie Dimon said this in an interview with the Times of India.

During the conversation, the chairman expressed confidence that the first cryptocurrency will be under the supervision of the authorities, which will limit it to some extent.

“I don’t care about Bitcoin. People spend too much time and effort on it. Whether regulation will destroy the first cryptocurrency, I do not know. The authorities will set the framework in any case. This does not mean that Bitcoin is not able to grow in price tenfold in the next five years. But if you invest borrowed money, then you are a complete fool. Speculation arises in all markets, even in communist countries. There is a lot of liquidity now, I won’t be surprised at anything,” he said.

Skepticism about the asset

In 2017, the CEO of JPMorgan repeatedly criticized cryptocurrencies, promised to fire employees trading digital assets. Moreover, called Bitcoin holders stupid. Dimon considered Bitcoin a “fraud” and had no doubt that the leading cryptocurrency “will eventually be blown up”. He also spoke approvingly about the comments of billionaire investor Howard Marks, who called Bitcoin an “unreasonable whim”.

Recall that in early May, Dimon acknowledged the interest of the bank’s customers in digital gold, but stressed his remaining skepticism about the asset.

Despite the attitude towards Dimon’s flagship, the bank is increasingly being drawn into the crypto industry. In the beginning of 2021, it became known about JPMorgan’s plans to launch an investment product based on a basket of shares of companies related to digital assets.

JPM Coin

JPMorgan is actively working on projects in the field of distributed ledger technology (DLT). In 2020, the bank revived the JPM Coin blockchain-based stablecoin project and created the Onyx division, which focuses on technology and digital currency.

In August, according to the media, JPMorgan, together with NYDIG, launched a fund based on the first cryptocurrency for wealthy clients.

Earlier it was reported that the bank opened access to three Grayscale Investments funds. Also, the Osprey Bitcoin trust for subscribers of the asset management division services.

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