From "Fraud" To "Portfolio Diversification" - JPMorgan Attitude Towards Crypto During The Last Few Months
I'm sure you've seen the news about JPMorgan report in which cryptocurrencies are seen like a "potential diversification portfolio". If you didn't, you may start from here, where you can read a rather comprehensive analysis of it.
But if you don't have time, I'll give a TLDR in 3 blurbs. According to that report, JPMorgan considers that:
- cryptographic assets are real assets
- blockchain is an opportunity
- if regulated, crypto is nice
This is such a long way from Jamie Dimon's statements a few months ago, in which he called Bitcoin "a fraud".
A dramatic shift in position, at such a high level, should be very carefully studied, because this is not coming from a friendy chat between two geeks over a couple of beers. The people who wrote this are not "blockchain enthusiasts" and this is not wishful thinking. This is the position of one of the biggest traditional financial institutions out there.
And this 180 degree pivot tells me two things:
- They realized the crypto revolution is for real, and they're somehow scared.
- They realized being scared doesn't help, so now they want a piece of the pie.
Of course, we're still a relatively long way until we can pay with Bitcoin, Steem or SBD at our favorite coffee shop, no matter where it's located.
But the good news is that we're clearly heading there, full speed.
I'm a serial entrepreneur, blogger and ultrarunner. You can find me mainly on my blog at Dragos Roua where I write about productivity, business, relationships and running. Here on Steemit you may stay updated by following me @dragosroua.
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Indeed we are heading in the right direction with all those regulations in place, many countries have recognized cryto-currencies as an "Asset" or considered it as "Movable property" and appropriate regulatory permission and taxes are applied, hence getting legalized in many countries much sooner than expected. We are not at all away from paying with BTC or SBD for our regular purchases...
The only way there will be acceptance of cryptocurrency is for banks to adopt and use it as a form of fiat currency. Hate to not have bankers invest in crypto because they love to manipulate prices, but it has to be as the current status quo is bankers have the control of world's assets. If in the future decentralization can replace bankers that would be great. I am not giving up hope. Thanks.
Cryptocurrencies aren't fake >.<!!! They behave very differently. Economists usually analyse them the way they analyse stocks, not currencies. They may lose value, they may get value, but they have value as long as people use them.
Will the value fall in the future? Maybe it will, maybe it won't, but it'll just be the inevitable future for an asset in a variable context.
Who are we going to blame now of being the Antichrist of crypto if Jamie Dimon is no longer saying cryptocurrencies are a fraud? I wonder what Max Kaiser will say in his show about this lol.
We still have Nouriel Roubini, so I think we're safe here...
And Paul 'Fax Machine' Krugman!
yup..what Ghandi said.
When they say money they come like all the others not matter what they said before now they see the money
They were afraid thats why they called it fake. They called it fraud because they wanted to undermine it. They tried shorting it so that people panic sell and never comeback. When they failed to do all of these now they are accepting this ugly this truth that cryptos are here to stay.
incep sa isi dea seama de puterea crypto!
Jamie Dimon's position reminds me of Warren Buffet's position on investing in the internet revolution. Warren Buffet did not fully understand the internet and the potential in internet based companies and as a result did not invest in them.
I am sure if you spoke to Warren Buffet today he would have looked a lot closer at the start of the internet era.
I think Jamie has probably realised that the comments he made were said without much analysis on the subject and now he realises he needs to reassess his position.
For me it just reinforces what exciting times we are living through right now. It is still going to be an absolute roller coaster ride with many more up and downs, but bit by bit it will become more and more pervasive in everyday life.
The Steemit platform is such a great platform for promoting the potential of blockchain technology. In recent days I have spoken to people who are not very tech savvy and only understand the real basics of blockchain technology and the idea of Steemit really excites them as it has a real world application that they can relate to.
Jamie Dimon doesn't like anything that would endanger the centralised structure that made him a millionaire. Who would?
JP Morgan [Chase Fleming] represents the very core of the establishment. If they had a stake in or control over Crypto, they'd be singing its praises on the mountains.
These same companies trade CFDs and Spreadbet 'stocks', which are basically gambling stocks - speculation on what the market will do.