JP Morgan Chase recently announced the launch of their own blockchain platform, intending to track and facilitate sale of precious metals, and other assets, starting with Gold. The platform is a joke as it compares poorly on every level with decentralized blockchain solutions, but it does pose some concern for bullion stackers, like me.

So today I discuss what this program is, what it offers and how I see it playing out moving forward.

JPM's Quorum: A Hilariously Misguided Implementation of Blockchain

First, Quorum is centralized, almost certainly NOT physically delivered, essentially another form of paper silver and gold, and that is necessarily bad.

JPM will use this to manipulate bullion:

They are going to use this to manipulate gold markets, and later silver markets. They already do this and Quorum will enhance their manipulations by giving them one more mechanism to leverage their bullion ownership to manipulate bullion.

How do they manipulate bullion?

They own X amount of bullion, and they leverage that stack by:

• Leasing that gold/silver,
• “Selling” that gold/silver through Futures and ETFs,
• And now, they will sell you Quorum, “Gold” tokens.

Each of these mechanisms enables “sale” of a single gold ounce more than once. It is therefore necessarily fractional reserving, and it enables them to manipulate the market by leveraging their physical stacks.

What does this mean for Gold & Silver?

For gold and silver, this Quorum blockchain will enable bullion price manipulation, until such time that the banks, and USD fall, which is coming. Once they fail, these “gold” tokens will be as useless and worthless as paper SLV or paper GLD, which is to say, completely worthless, because once JPM is bankrupted by fiat failure, their insolvency will erase all title investors have to their coffers.

When they go bankrupt the liquification of their assets will result in the richest people being paid back, while the average investor losing everything.

What does this mean for Blockchain?

Nothing at all. This is exactly what Andreas Antonopoulos predicted, companies who are being pushed into obsolescence by blockchain tech, are going to try to make their own chains, but in so doing they will kill all the important features of blockchain.

JPM’s Quorum takes all the best features of blockchain tech, namely that it is trustless, peer-to-peer, private and permissionless, and crushes those features. Quorum is necessarily the direct opposite: involving JPM as a “trusted” third party, NOT peer-to-peer, not truly private, and by definition “permissioned”. And for all these reasons, Quorum is boring and unimportant within blockchain. It is akin to your office’s intranet, as compared to the depth and breadth of the open, and exciting internet.

Conclusion:

I am concerned that JPM is going to utilize this new mechanism to manipulate my silver stack down in value, but long run I am excited because I expect that will enable me to stack higher for less fiat cost. In the future, fiat will fail and banks will be forcibly removed from their seat of power by their own insolvency, brought about by their manipulations, leverage and tricks.

Quorum changes nothing about my plans around silver, gold or cryptocurrency, and despite what some crypto naysayers suggest this is largely irrelevant in the long run, both for bullion and bitcoin.

As always guys, thank you for your time and attention. Have an awesome day and God bless.

BUY REAL MONEY:

Buy Cryptocurrency:
Coinbase:
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https://silvergoldbull.ca/