“I have always been against cryptocurrencies, Bitcoin…”, the CEO of the largest bank in the United States responded when questioned by Senator Elizabeth Warren. “This is a way for criminals, drug dealers, money launderers, and tax evaders. If it were up to me, I would shut down this entire industry.”
This is part of the annual hearing before the Senate Banking Committee in the United States on December 6th.
Jamie Dimon, CEO of JPMorgan bank
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These remarks are consistent with Dimon’s long-standing opposition to cryptocurrencies. He previously referred to cryptocurrencies as a “Ponzi scheme” and “fraud”. His latest remarks come in the wake of a series of hacks and scandals in the cryptocurrency industry. The industry is currently under close scrutiny by US regulatory agencies and lawmakers following the FTX case – the cryptocurrency trading platform owned by Sam Bankman-Fried.
Senator Elizabeth Warren, a Democratic senator from Massachusetts, along with Republican senators and banking executives, targeted the cryptocurrency industry in this hearing.
Dimon and other banking executives stated that they have taken measures to prevent terrorists and other illegal entities from taking advantage of their organizations. Warren argued that the anti-money laundering regulations that apply to banks should also apply to digital assets. All banking CEOs agreed.
“I don’t usually agree with CEOs of trillion-dollar banks, but this is a national security issue,” Warren shared. She previously mentioned the need for regulations in the cryptocurrency industry and the connection between major banks and the cryptocurrency industry.
Dimon’s criticism is specifically aimed at the cryptocurrency industry but he appears to be supportive of blockchain technology. JPMorgan has undertaken several projects related to this technology and is also a pioneer in issuing JPM Coin – a stablecoin that allows customers to make payments using blockchain. The bank predicts that JPM Coin could process up to 10 billion USD in daily transactions in the next 2 years, up from the current 1 billion USD.
