Crypto is a ‘decentralized Ponzi schemes’: Crypto News

Introduction 

JPMorgan Chase Chief Jamie Dimon portrayed himself as a “major doubter” of “crypto tokens that you term cash like Bitcoin”. While talking before U.S. Congress and alluded to them as “decentralized Ponzi Schemes,” Cointelegraph noted.

Crypto is a ‘decentralized Ponzi schemes’

According to Cointelegraph, at a House Financial Services Committee oversight hearing on Wednesday, Dimon was questioned about why he hasn’t invested more in the bitcoin sector. Dimon emphasized the value he places in blockchain, decentralized finance (DeFi), ledgers, smart contracts, and “tokens that do stuff” before criticizing cryptocurrency tokens that pass for currencies. When questioned about his views on the American stablecoin law proposal.

Dimon answered that he believed stablecoins were acceptable as long as they were adequately controlled. Additionally, this rule ought to be comparable to the one that governs money market funds. Before this, Dimon termed Bitcoin (BTC) a “fraud” and said he had no interest in directly helping the industry. He occasionally modified his views when he realized that cryptocurrencies might have important uses, such as cross-border payments.

Conclusion

Notwithstanding Dimon’s perspectives on digital currencies, JPMorgan has been effectively chasing after blockchain innovation. To further develop settlement proficiency, the financial behemoth presented its interior stablecoin, JPM Coin, in October 2020. JPM Coin was the principal digital currency supported by a U.S. bank. The bank gave Onyx, another speciality unit dedicated to blockchain innovation, seven days in the wake of sending off the coin. From that point onward, huge institutional clients have utilized the Onyx stage for day-in and day-out global instalments, Cointelegraph noted.