Jamie Dimon, CEO of funding banking big JPMorgan, has praised blockchain know-how and decentralized finance (DeFi) in a letter to shareholders revealed yesterday.
“Decentralized finance and blockchain are actual, new applied sciences that may be deployed in each private and non-private vogue, permissioned or not,” Dimon stated, earlier than including that JPMorgan is “on the forefront” of those improvements.
“We use a blockchain community known as Liink to allow banks to share complicated data, and we additionally use a blockchain to maneuver tokenized U.S. greenback deposits with JPM Coin,” he stated.
JPM Coin was created in February 2019 as a dollar-backed stablecoin designed for use by large enterprise. Liink, alternatively, was launched in 2017, and to this point, over 400 monetary establishments have signed up to grow to be a participant on the blockchain.
The JPMorgan CEO added that the corporate believes that there are “many makes use of the place a blockchain can substitute or enhance contracts, knowledge possession and different enhancements.”
He did caveat his reward by including that for some functions, blockchain know-how is “presently too costly or too gradual to be deployed.”
These feedback characterize a considerable shift in Dimon’s total cryptocurrency views, which have usually targeted on his unfavorable notion of Bitcoin—the business’s flagship cryptocurrency.
Dimon, Bitcoin, and blockchain
In November 2020, Dimon stated at a distant New York Occasions summit that he was not enthusiastic about Bitcoin.
“It isn’t my cup of tea,” the JPMorgan CEO stated on the time. He did, nonetheless, describe blockchain know-how as a “important” improvement in the way in which cash is dealt with.
Regardless of his impressions of blockchain know-how, his views on Bitcoin remained important.
In Might 2021, Dimon stated he remained skeptical about Bitcoin and reiterated that he had no actual curiosity within the cryptocurrency. He did nonetheless admit that JPMorgan’s purchasers have been within the main crypto.
In October 2021, he doubled down on Bitcoin, calling it nugatory.
“I personally suppose Bitcoin is nugatory,” he stated throughout the annual assembly of the Institute of Worldwide Finance.
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