[2017-09-22] Governments will close down cryptocurrencies if they get too big

[aysha9872]

Governments will close down bitcoin and cryptocurrencies if they get too big, warns Jamie Dimon

JPMorgan Chief Executive Jamie Dimon has laid into bitcoin and digital currencies once again, warning that governments will shut them down if they grow too large.

"Right now these crypto things are kind of a novelty. People think they're kind of neat. But the bigger they get, the more governments are going to close them down," Dimon said during an interview with CNBC-TV18 in New Delhi, India, on Friday.

Dimon was concerned that with bitcoin, ethereum and various Initial Coin Offerings (ICOs), there are now cryptocurrencies everywhere.

"It's creating something out of nothing that to me is worth nothing," he said. "It will end badly."

Dimon warned that governments will eventually crack down on cryptocurrencies and will attempt to control it by threatening anyone who buys or sells bitcoin with imprisonment, which would force digital currencies into becoming a black market.

These are the latest comments from Dimon attacking bitcoin. Earlier this month he called the cryptocurrency a "fraud". His comments, along with several prominent hedge fund investors, came before a sharp sell-off in bitcoin. The price for one bitcoin fell from around $4,340 to as low as $2,981.05 in the days after his comments.

Bitcoin has since recovered to around $3,640.68, according to CoinDesk data. Despite this volatility, bitcoin's value has risen 264 percent this year.

Dimon's comments came under criticism from several bitcoin investors and experts.

"Comments like Jamie's show a failure to grasp the significance of the blockchain and the power of brand in a fundamental sea of change," said Scott Nelson, CEO and chairman of blockchain firm Sweetbridge, in an email to CNBC last week.

Meanwhile, a company called Blockswater has filed a market abuse complaint in Sweden against Dimon and JPMorgan. Blockswater claims Dimon deliberately spread false and misleading information, according to a report by City A.M.
Money from thin air

During the interview on Friday, Dimon also criticized bitcoin for not being a fiat currency formed by a government and backed by a central bank.

"With central banks, (the money) says legal tender: you have to take this as payment. It's very cheap to do, it's very easy to move back and forth. JPMorgan moves $6 trillion around the world every day very efficiently, very quietly, very effectively and very cost efficient," he said.

"Creating money out of thin air without government backing is very different from money with government backing."

However, Dimon did praise the technology underpinning bitcoin – the blockchain.

"Blockchain is a technology that can be used for multiple things, including cryptocurrency. It could be used for digital dollars, and there are digital dollars already; a lot of the dollars held in our bank are digital," he said.

source: https://www.cnbc.com/2017/09/22/bitcoin-jpmorgans-jamie-dimon-lays-into-bitcoin-again.html

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[iamTom123]

So the idea is that Bitcoin should just remain small so that banks and people like him will not be feeling the heat coming from the possible disruption? Well, this man knows what he is saying and he is now showing what he is working for. He is for the status quo and anything that will change that has to be worthy fighting on. while I don't blame Demon for picking up the fight in the name of the industry he is representing for, I prefer to believe that Bitcoin will eventually win and he is welcome to also join the bandwagon rather than be a crying baby.

Demon is the man of the hour for now because the media keeps on picking up whatever he wants to say to them...let's give him the space he needs as Bitcoin has become his vehicle to gain the free advertising for his bank. Good job, Demon!

Yeah, I know that it should be having an i...but never mind!

[Aamir1]

People that are connected to government would never say a good thing about bitcoin, don't expect them to as well. They know this, that if bitcoin gets big, they won't stand a chance to compete with it, because more people will know about it and they will of course start using it instead of using them. So such things said are just to show their concern about their own safety but nothing else.
Furthermore, the part where he praises blockchain makes me feel like they are willing adapt the technology while they don't want Bitcoin to be the outcome of that technology. They may intend to give it a little different shape and use it for fiat like he said, "there are already digital dollars", but those digital dollars need a technology like bitcoin which they have found out and for sure they will look after this.

[CyberKuro]

Most countries doesn't regulate cryptocurrency yet, it's getting bigger and bankster seems afraid of it, as they can't control bitcoin and huge influx money in bitcoin. What he said based on his speculation, out of his mind, btu it can be real or it can be nothing as something worth because people believe it's worth. However, many people invest in bitcoin and expecting higher profits in the future, become weak hands after someone like Dimon stated it worth nothing and Government will close it down just like in China.

[coolcoinz]

Not this clown again! All he does is whine about how cryptos are bad and the press is just feeding him by saying that the recent correction was his doing.
Now he's going to keep pounding until people finally wake up and stop reacting to his words. You hate Bitcoin because it's working against you and your crooked bank, we know it, time to change the tune Jamie.

[BitHodler]

People should understand that the harder JPMorgan is making it look like they are against crypto currencies, the more bullish you should get.

I am quite sure that JPMorgan hasn't been all that happy with the price not going lower than the recent bottom just below the $3000 mark ~ this is another attempt to increase their positions in this market at lower levels.

Imagine what will happen if JPMorgan has accumulated enough coins to justify themselves turning into ultra bulls..... This market will literally explode in value, and that to levels far beyond the $10,000-$20,000 marks.

It's plain a plain simple way of trying to buy time and accumulate even more coins at lower levels before the crypto train starts its unstoppable journey ~ we have a bright future ahead of us.

[bbc.reporter]

If there was a time to start spreading the word about bitcoin, it is now. If you have techie friends or know someone with a background in computer science and IT, educate them about bitcoin before it is too late.

Any government cannot stop bitcoin transactions like it cannot stop the millions of movie downloads everyday.

[veleten]

don't expect anything else from Dimon,his first outburst was quoted by many news outlets
and added to the price drop along with the china exchanges uncertainty
but now he is clearly overdoing it,not even sure what is he trying to achieve as the effect is polar opposite
anyone who can add two and two can see that the goverments are trying to deal with this new phenomenon,but only a chosen few are banning cryptocurrencies
many countries adopted bitcoin and legalised it and more will follow the suite

[cr1776]

>”It's creating something out of nothing that to me is worth nothing," he said. "It will end badly."

Is he talking about the Yen, Euro, Dollar, Yuan etc? 

Of course governments don’t like bitcoin, just like they didn’t like gold or silver backed currencies.  It is outside their control and they can’t steal freedom m huge numbers of people via the inflation tax.  Power hungry authoritarians hate freedom.

[Bezobraznike]

People that are connected to government would never say a good thing about bitcoin, don't expect them to as well. They know this, that if bitcoin gets big, they won't stand a chance to compete with it, because more people will know about it and they will of course start using it instead of using them. So such things said are just to show their concern about their own safety but nothing else.
Furthermore, the part where he praises blockchain makes me feel like they are willing adapt the technology while they don't want Bitcoin to be the outcome of that technology. They may intend to give it a little different shape and use it for fiat like he said, "there are already digital dollars", but those digital dollars need a technology like bitcoin which they have found out and for sure they will look after this.

I think the people who work on the government are going to be in the first line of people who will transfer their capitals in bitcoin or other crypto-currencies to send it to a safe place far from the tax system's eyes. And I am sure that meanwhile they gonna yell how bitcoin is dangerous for public and the economy, well, currently they do exactly like that.
 To the government it's easy just ban bitcoin instead of to do their best to regulate this decentralized currency. As I see besides Japan and Australia other countries still didn't rich any success in that point.

[coinjack1337]

The only Thing that is true in his words is that governments want to control it and will do everything to do so.
But for sure, it won't end with a full ban for cryptos.

[aso118]

The only Thing that is true in his words is that governments want to control it and will do everything to do so.
But for sure, it won't end with a full ban for cryptos.

He says if Bitcoin becomes successful, governments will threaten those who hold it with arrest. Deep down that is what he wants. Banks must be lobbying hard with governments to make it a reality.

[1Referee]

Power hungry authoritarians hate freedom.

But yet people don't take any actions to make an end to this. People for once should learn to stand up for themselves, and see that the government with their slavery system isn't bringing them anything at all. It's a mentality problem that the average joes are suffering from, and if this doesn't change, and I don't have any hopes for it to change, then they will remain stuck in this debt/slavery based system for plenty of more decades. As we speak, I have over 60% of my wealth sitting in Bitcoin, and if the price keeps going up in the forthcoming years, and that's definitely going to happen, this will likely push it to a ratio of 90% Bitcoin, and 10% fiat. It feels great knowing that no other entity than myself has access to these funds.

[carlisle1]

People that are connected to government would never say a good thing about bitcoin, don't expect them to as well. They know this, that if bitcoin gets big, they won't stand a chance to compete with it, because more people will know about it and they will of course start using it instead of using them. So such things said are just to show their concern about their own safety but nothing else.
Furthermore, the part where he praises blockchain makes me feel like they are willing adapt the technology while they don't want Bitcoin to be the outcome of that technology. They may intend to give it a little different shape and use it for fiat like he said, "there are already digital dollars", but those digital dollars need a technology like bitcoin which they have found out and for sure they will look after this.

I think the people who work on the government are going to be in the first line of people who will transfer their capitals in bitcoin or other crypto-currencies to send it to a safe place far from the tax system's eyes. And I am sure that meanwhile they gonna yell how bitcoin is dangerous for public and the economy, well, currently they do exactly like that.
 To the government it's easy just ban bitcoin instead of to do their best to regulate this decentralized currency. As I see besides Japan and Australia other countries still didn't rich any success in that point.

big Yes mate those people inside the government after learning crypto for sure they will secretly transfer their funds in order to make some laundering
since bitcoin or any crypto doesn't have any taxes they will easily send and receive money without a trace, so who knows who's playing inside btc community
might thinking of big potential to ride.

[cr1776]

Power hungry authoritarians hate freedom.

But yet people don't take any actions to make an end to this. People for once should learn to stand up for themselves, and see that the government with their slavery system isn't bringing them anything at all. It's a mentality problem that the average joes are suffering from, and if this doesn't change, and I don't have any hopes for it to change, then they will remain stuck in this debt/slavery based system for plenty of more decades. As we speak, I have over 60% of my wealth sitting in Bitcoin, and if the price keeps going up in the forthcoming years, and that's definitely going to happen, this will likely push it to a ratio of 90% Bitcoin, and 10% fiat. It feels great knowing that no other entity than myself has access to these funds.

I agree, most people don't take actions.  I read that somewhere "only" 15% of the Americans fought in the Revolutionary War....so you don't need 99%, just enough people who will, and who have the backing of others to protect freedom.

[Wekkel]

I think the same argument could be made for the Internet with centralised players loosing control over 'the message' but here we are with the Grand Old Lady called the Internet. While it may not be the fully decentralised wonder the anarchists hoped for, it's still there, not 'closed down' prematurely as a perceived threat.

The same will probably happen with cryptocurrencies. I cannot imagine this will be 'closed down' (in fact, it's impossible) but I do see every reason that this tech will be coopted and molded in variants to be used by the larger part of the public, firmly controlled by our institutions. And frankly, I do not worry about this. It's a fact that the large part of the herd sticks with the perceived leader, no matter what.

[electronicash]

Good luck Jaime.

I think the same argument could be made for the Internet with centralised players loosing control over 'the message' but here we are with the Grand Old Lady called the Internet. While it may not be the fully decentralised wonder the anarchists hoped for, it's still there, not 'closed down' prematurely as a perceived threat.

The same will probably happen with cryptocurrencies. I cannot imagine this will be 'closed down' (in fact, it's impossible) but I do see every reason that this tech will be coopted and molded in variants to be used by the larger part of the public, firmly controlled by our institutions. And frankly, I do not worry about this. It's a fact that the large part of the herd sticks with the perceived leader, no matter what.

and i remember that SOPA for which aims to monitor the internet using the ISPs.

Jaime is a douchebag who was too afraid of BTC that he creates his own fear and yet he bought a lot of BTC himself. His kids bought BTC which he said have profited a lot as well. 

[fujiwaratakumi283]

Most countries doesn't regulate cryptocurrency yet, it's getting bigger and bankster seems afraid of it, as they can't control bitcoin and huge influx money in bitcoin. What he said based on his speculation, out of his mind, btu it can be real or it can be nothing as something worth because people believe it's worth. However, many people invest in bitcoin and expecting higher profits in the future, become weak hands after someone like Dimon stated it worth nothing and Government will close it down just like in China.

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