Crypto Currency to replace Banks? Bitcoin to replace Banks? Is Crypto more reliable than Fiat money? These are all statements and quuestions that we've heard many times before but have they ever been truly answered?
Large banks will tell you that bitcoin is untrusted and that it’s used for criminals. JP Morgan Executive Head Jamie Dimon in an interview with CNBC said “I could care less about bitcoin.I could care less with what bitcoin trades for, how it trades, why it trades, who trades it. If you’re stupid enough to buy it you’ll pay the price for it one day. The only value of bitcoin is what the other guy will pay for it.”
But isn’t that how anything is traded for? From the USD to physical gold you can only trade something based on what other people think it’s worth.
He further added, “Who cares about bitcoin I mean you know the worlds economy is so big. We alone move 6 trillion dollars a day, we move all this money and Bitcoin in total is and all these currencies are fifty billion dollars, maybe a billion dollars traded a day. Governments are going to crush it one day, Governments like to know where the money is, who has it has it and what you’re doing with it. So there is a use case for Bitcoin if you live in Venezuela, North Korea, or if you’re a criminal.”
After these public statements guess what happened just a few short days later?
JP Morgan just days after executive Jamie Dimon made his famous quotes bought 19,102 bitcoin shares in the Swedish Nasdaq traded bitcoin ETN. In short this isn’t the first time JP Morgan has done something like this!
Banks are scared of bitcoin as they are afraid of people moving from controlled Fiat Money to free crypto currency.