JPMorgan Admits Cryptocurrency Is a 'Risk' to its Business

[mOgliE]

Well,

I guess that after the period of complete reject, banks are now obliged to face bitcoin and deal with it. They have tried to communicate about how dangerous this is, but people still have adopted it and now they see they have to really take care of it. So the most reasonnable reaction is to say that the tool is "interesting but limited and will never be able to become a currency, due to its inner characteristics".

I take it as a good sign, though. Because it shows that bitcoin matters.

I also see it as a threat. Because if large entities invest in cryptos, they will be able to manipulate rates, and nothing will change!

[bug.lady]

You make a good point, I think blockchain is the grand deception.
In the past we've had a few attempts to convince the masses we need a one world currency, it's always been resisted heavily.
We now have a concept which the same people who say f*ck the bankers are adopting as they view it as free, open and what not, just like the federal reserve, prior to it's existence you had serious resistance to a privately owned reserve, the "federal" reserve was the grand deception in those days and it worked wonders, even today if you asked 10 Americans who owns the federal reserve, most would say the government, same applies in most countries with private reserves.
Not saying it will be bitcoin but I believe the global currency will be on the blockchain.

To deceive people you have to play along, "it's a scam, it's a fraud" and what not, once it's gained enough traction you change your game plan a little, we're seeing this now with things like "it's a threat" from JP and "it's incredible useful" from goldman sachs, after the biggest correction and during such a fearful time, wouldn't they be saying "we told you so!" instead? yet we're starting to see the opposite.

- snip -

You are right mate.
I recommend everybody reads "Currency Wars" by Song Hongbing. It tells a great deal on what one can expect from banksters and how far they will go and to what level of deceipt they will go to legalize their shady business. One thing, though: US Federal Reserve is private but in other countries (my country for that matter) it is the government organization.

[Kprawn]

Banks will still exist for years to come, but their days of exploitation of the poor will be at an end. Banks will retain most of the

people who are conservative and reliant on centralized authorities. A lot of people will not trust open decentralized public

networks and the people controlling it and governments will continue supporting these Banks. {One of their biggest sources

of intelligence and information gathering.} Bitcoin and other Alt coins will take a lion share of their market. 

[Pan Troglodytes]

Banks will still exist for years to come, but their days of exploitation of the poor will be at an end. Banks will retain most of the

people who are conservative and reliant on centralized authorities. A lot of people will not trust open decentralized public

networks and the people controlling it and governments will continue supporting these Banks. {One of their biggest sources

of intelligence and information gathering.} Bitcoin and other Alt coins will take a lion share of their market. 

You are talking here about the services for retail customers and you may be right. However, retail is only a fraction of what banks do and get their money from. They are the ones behind the Federal Reserve as my predecessors rightly claim (above), they are the ones who credit governments, issue bonds and found wars. Also, even for retail customers, things like mortgages and credit will not be there (even with bitcoin) without banks. There are sites lending people money in a distributed way even with fiat, but they are greatly unsuccessful, and with bitcoin it will be even harder (how will you make a person return the bitcoin back?).

So I wouldn't be expecting banks to fail anytime soon. If anything, they will have more money sources as they already do tests running their own blockchains.

[BrewMaster]

this should open some eyes up, hopefully!
JPMorgan is now like the symbol of FUD among bitcoiners and the more they spread FUD the more people will realize how dumb all of it is. and now that they are even admitting how they are scared of bitcoin everyone can become more sure about their evil motives when they were spreading FUD!
hopefully soon we won't see as big a effect as we saw in the past.

[nightxglow]

Hmm with that kind of statement, i wonder if the government will be influenced and started to think that bitcoin is a threat as well?
Since it's just a common sense that the government should protect the banks, or else i can say that the economy will be unstable. And if bitcoin is threatening banks, it's just normal for them to choose ban bitcoin and never support it.
Although i don't want that to happen, i also kinda realize that bitcoin can lead to worse things. But this far, i only feel the good ones, we don't know how the government feel about it.

[jtipt]

So a "lol" is an appropriate reaction to this statement of JPM chief Jamie.

Who even cares about him or JPMorgan Chase Co. They are switching sides on the bitcoin matter a lot. No one gives a shit about what they say anymore in the matter of cryptocurrency, they have lost their credibility in my eyes.

Well they are one of the most powerful and influential people, you know.

If they say something then there is some hidden motive behind it. You shouldn't assume that those people are dumb and just blabbing around.

I don't disagree with you. And neither are the wrong about their current stance, blockchain is a n obvious threat to the traditional banking they are correct about that.
And yes obviously when they say something they have a clear motive to benefit themselves, and no I am not assuming that they are dumb, they are not. It's just that their opinion on crypto has been made clear that they are against it, so any more of their statements don't interest me.

[deepcoreotc]

A lot more such comments will keep coming during this year. Jamie has already made it clear that they are seeing bitcoin and other crypto currencies as a threat to their business in 2017. They have called it fraud and bubble and many other negative things. After his first public address about bitcoin, he even managed to bring the price down up to 35%. But that didn't last long. After that, Jamie released such negative statements many times, but market never reacted. I am sure, nothing will happen this time as well regardless of what he says officially or unofficially. Crypto community learnt to ignore his foul thoughts.

So a "lol" is an appropriate reaction to this statement of JPM chief Jamie.

The 35% price fall following his statement regarding Bitcoin wasn't only because of him. It was just really bad timing and his comment + other bad news helped bring the price of Bitcoin down.

[CryptoBeefy]

Of course J.P Morgan knows the threat of cryptocurrencies, that's the reason they've been so active in trying to call Bitcoin out and calling it a threat. They're worried and trying to put as many people off as they can

[tramadols]

A lot more such comments will keep coming during this year. Jamie has already made it clear that they are seeing bitcoin and other crypto currencies as a threat to their business in 2017. They have called it fraud and bubble and many other negative things. After his first public address about bitcoin, he even managed to bring the price down up to 35%. But that didn't last long. After that, Jamie released such negative statements many times, but market never reacted. I am sure, nothing will happen this time as well regardless of what he says officially or unofficially. Crypto community learnt to ignore his foul thoughts.

So a "lol" is an appropriate reaction to this statement of JPM chief Jamie.

I agree with what you say.
JP morgan is one that makes many rumors skewed on bitcoin, the result they invest in bitcoin as well. I'm not surprised by CEO Jamie Dimon's statement. because he is the one who said discordant, and threatened his worker if involved bitcoin will be fired. this is so embarassing

[KwizatzHaderach]

They should be. It has always been the disruptors that will change the future of money.
Banks will somehow try to find ways to profit from it still.

[uncleduckerr]

Oh wow, old news but just being said now. Seriously we all knew it was a threat to the foundation of which bankers and governments stood on, but they just didn't want to admit that. Waiting for the day when Warren Buffet admits he was wrong, because he took a long stupid stab at Bitcoin and I want that old man to admit he was completely wrong and out of line.

[Blitz99]

Every business has a risk so only they highlighted. Its a common term only so no need to panic much.

[jhean_arcane]

"In JPMorgan Chase’s annual report, released Tuesday afternoon, the bank counted cryptocurrencies such as Bitcoin and Ethereum as “risk factors” to its business for the first time, recognizing the digital currencies as new forms of competition that could, quite literally, give the bank a run for its money.

“Both financial institutions and their non-banking competitors face the risk that payment processing and other services could be disrupted by technologies, such as cryptocurrencies, that require no intermediation,” the bank (JPM, -0.02%) wrote in the report."

Quoted from the article itself.

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I think JP Morgan knew from the start that cryptocurrency is a threat to their business and so they started to spread FUD. Partly because they are also in denial. These people are financial experts and they knew that they have to do something about cryptocurrency to stump its growth. However, now that it's obvious how bitcoin and ethereum are doing good, despite their high volatility, they can no longer deny its existence and so they acknowledge that these are threat to their business.

The banks controlled the currency system for the longest time and they were so over confident that nothing can ever replace this system. By the way, Ripple made it through the decentralized system, and I think it is the general bank's attempt to adopt to the system. However, banks still feel threatened because the two biggest names ctc: bitcoin and ethereum promises better opportunities for the consumers.

I don't want to sound cheesy, but here's the thing: people dream of a utopian society and bitcoin appeals to the mass due to its visionary approach to the utopian order - decentralized, indepedent and free.

[nsasuiteb]

If there is risk for them, yes I think they are right. What are they going to do? They will adopt the technology and even buy some cryptocurrencies