THELOGICALINDIAN - JP Morgan CEO Jamie Dimon is aback in the Satoshi spotlight Speaking during an actualization on CNBCs advantage of the World Economic Forum affairs in Davos aftermost ages Mr Dimon already afresh arresting his abridgement of acceptance in Bitcoin
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Jamie Dimon: Bitcoin Going Nowhere
“Bitcoin the currency, I think, is activity to go nowhere,” Dimon said, “And it’s not because of annihilation to do with the technology. Governments, back they anatomy themselves, anatomy their currency. Governments like to ascendancy currency, apperceive area it goes, and who it goes to, and ascendancy it for budgetary purposes. There is annihilation abaft a Bitcoin, and I anticipate if it was big, the governments would stop it. I beggarly that’s my own claimed belief, I may be asleep wrong.”
Despite this rather contemptuous appearance of “the currency”, the added ancillary of the coin, Mr. Dimon argues, is the abeyant of blockchain technology:
“The Blockchain is a technology, which we’ve been belief (along with a brace of added bodies up here) and yes it’s real. It could apparently abate the amount of absolute appliance in assertive things. It’s befitting a distinct file, as against to anniversary of us befitting our own files, and it has assertive aegis measures. If it proves to be bargain and defended it will be adopted for a accomplished agglomeration of stuff. Not for everything; it is not adapted for assertive types of things.”
First off, with commendations to Mr. Dimon’s comments about Bitcoin: Mr. Dimon is understandably speaking out adjoin the abeyant of Bitcoin, accustomed his different position as a baton in the Wall Street cyberbanking world. Bitcoin represents an brainy about-face abroad from assurance on customer cyberbanking to clue funds, appear allotment individuals to act as their own bank. Accustomed the blackmail that Bitcoin poses to the approaching of JP Morgan’s business, Mr. Dimon is agreeable in his acknowledged assignment to serve the best interests of shareholders. Governments like to regulate, ascendancy and clue currency, and analytic so.
Bitcoin, however, represents article newer and more important. Bitcoin is artlessly a alarm agenda asset represented aural a globally broadcast and abiding database. The inherent amount abaft a Bitcoin is the acceptance by millions that this groundbreaking innovation, which is the acme of over 40 years of computer science research, to barter agenda assets after charge for agent blank possesses brainy and applied amount to them.
Yes, governments can and acceptable will try to accroach Bitcoin if it anytime gets big. Challenges arise, however, about the actuality that the cat is already out of the abstruse bag. No amount how abundant governments try and stop Bitcoin, individuals with ability of the peer-to-peer technology will (likely) consistently acquisition means about restrictions appear its use, analogously to how bodies still allotment music files illegally. This is arduous for the banking and acknowledged communities to accord with, and is it acute that policymakers and banking institutions accept the accurate abeyant actuality and act proactively after acquainted the bread-and-butter allowances it provides, so that our communities and banking systems can curl while actual safe.
Moreover, with commendations to Mr. Dimon’s angle of Blockchain technology: the chat about Blockchains in the cyberbanking apple is continuing to shift. Increasingly, Wall Street is advancing to agreement with the absolute business applications of Blockchain technology and its abeyant to decidedly cut adjustment costs, lower cessation times, and abate aegis vulnerabilities. There is, however, a added basal acumen why Mr. Dimon and assembly generally feel a charge to abstracted Bitcoin from Blockchain technology, and it has to do with secrecy. Blockchain applications do not abuse the angelic atom at the amount of this authoritative dilemma, that actuality the abeyant for anonymity. As Mr. Dimon credibility out: Yes, Bitcoin will be acclimated for assertive things, but not the ones that crave AML, KYC, taxation, and licensing by law.
Lastly, Mr. Dimon’s comments reflect an more accepted argot in authoritative and cyberbanking circles, that of clandestine against accessible blockchains. This bond has been a hot affair of altercation at this week’s San Francisco Blockchain Conference.
Recent R&D investments in blockchain technology by cyberbanking institutions such as Goldman Sachs, J.P. Morgan, and Citi signals the appulse that comments such as those aloft by Mr. Dimon are accepting on the beyond banking space. Perhaps, if the focus by acceptable institutions keeps alive abroad from Bitcoin and appear the Blockchain, aptitude abaft its workforce will access tenfold. In the continued run, proactive and honest conversations amid Wall Street, Washington D.C., and Silicon Valley will accomplish free how to best adapt Bitcoin after airless the benign qualities it brings (global payments system, affectionate of like a WhatsApp for money or 2024’s email) a lot easier and added able for anybody involved.
What do you anticipate of Jamie Dimon’s comments? Are they accurate? What does this authority for the approaching of the accord amid Bitcoin and Blockchains? Share your thoughts below!
Images address of Wikimedia Commons, Aspen Ideas Festival
