Miércoles, 23 Enero, 2019

Jamie Dimon Regrets Dismissing Bitcoin as a "Fraud"

Jamie Dimon Regrets Dismissing Bitcoin as a Jamie Dimon Regrets Dismissing Bitcoin as a "Fraud"
Frascuelo Febo | Enero 10, 2018, 13:54

JP Morgan chief executive Jamie Dimon has backtracked on criticism of Bitcoin, saying he regrets calling the cryptocurrency a "fraud".

After his comments earned him a position as one of the more reviled figures among the crypto community, Dimon claimed he was "not going to talk about Bitcoin anymore".

"We think that by mid-2018, we're going to be part of the way [to $50,000], and that's why we get $20,000", Tom Lee, co-founder and head of research at Fundstrat Global Advisors, told CNBC on Tuesday.

"If you're stupid enough to buy it, you'll pay the price for it one day", he said in October.

It seems Dimon is becoming a believer, slowly.

JPMorgan did not respond to a request for comment.

Even Kodak has announced its plan to install the bitcoin mining rigs at its headquarters in Rochester, New York besides its plan to roll out its own version of bitcoin called KODAKcoin.

The currency has so far received a fairly negative reaction from financial institutions with Wall Street bear and former director of the Office of Management for President Ronald Regan David Stockman stating the cryptocurrency boom would end disastrously.

However, Bitcoin suffered a fall on the first trading day of the year for the first time since 2014, declining 4.8% to $13,624 on 1 January.

Dimon said he sees the potential in blockchain - the technology behind bitcoin. "ICOs you have to look at individually", he added referring to Initial Coin Offerings which allow investors to exchange cryptocurrencies like Bitcoin for proprietary "coins" or "tokens" linked to a specific firm or project. But the cryptocurrency remains extremely volatile, routinely moving up and down by over $1,000 within hours.

The U.S. economy grew at a 3.2 percent annual rate in the third quarter of 2017, posting the best back-to-back quarterly growth rates in three years.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc.