Bitcoin Slides After Dimon Doubles Down On Cryptocurrency Concerns: "It Will End Badly"

Tyler Durden's picture

Just a week after Jamie Dimon first attacked Bitcoin for being a "fraud," the self-interested JPMorgan CEO has doubled down on his anti-crypto-currency tirade, somewhat exposing just how concerned he is at the potential for disruption within his industry.

To paraphrase, here's what Dimon said last week...

"It’s a fraud. It’s making stupid people, such as my daughter, feel like they’re geniuses. It’s going to get somebody killed. I’ll fire anyone who touches it."

Image courtesy of CoinTelegraph

And now, as CNBC reports, JPMorgan Chief Executive Jamie Dimon has laid into bitcoin and digital currencies once again, labeling it a "novelty" that is likely to end badly.

Eventually governments will close down cryptocurrencies: JPMorgan CEO from CNBC.

 

"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.

And this has pushed Bitcoin lower (extending losses from BTC China liquidations ahead of its closure)...

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.

And as we reported previously, 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.

And perhaps even more interesting, as we detailed before, JPMorgan Securities continues to allow clients to trade this 'fraudulent' security through its platform...

Source

In fact JPMorgan has transacted 87 million Swedish Kroner's worth of Bitcoin ETF transcations in the past year for clients...

Source

As we asked rhetorically previously, does the bank not have a fiduciary duty not to transact on clients' behalf in a security it defines as fraud? (like Subprime CDOs?)

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VD's picture

two frauds dont make a right.

 

blockchain > swift

Mr Pink's picture

I guess (((his))) Bitcoin mining farm isn't producing enough so he needs to pick up some cheap on the open market

MagicHandPuppet's picture

Never trust a (((banker))).

Mr Pink's picture

Or a (((journalist, reporter, actor, writer, producer, jeweler or pawn shopowner)))

MagicHandPuppet's picture

Or a ((( politian, lawyer, lobbyist, social worker, "professor" )))

Uh oh, this list is getting out of hand!

Fizzy Head's picture

ok I'll be that guy... and Joo know what im talking about, dont Joo?

Ghost of PartysOver's picture

Kind of reminds me abut the war of words between the horseless carriage and the horse and buggy crowd back in the day.  I have no idea who will when but it ill be fun to watch.

JimT's picture

Me thinks thou protesteth too much.

ultraticum's picture

Buggy whip cartel boss lashing out against the horseless carriage.  Totally meaningless.

DownWithYogaPants's picture

Methinks the lady doth protest too much.

MANvsMACHINE's picture

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

Isn't he describing the US Dollar?

Crash Overide's picture

So Blythe's derivatives, and the FED's fiat are not frauds? LIBOR? COMEX paper? Muni bonds? Pensions? SEC?

Most of the current financial system is 0's & 1's swimming around within complex financial instruments packaged for 401k's & hedge funds. Crypto technology takes away power from money brokers and they don't like competition.

Jamie is right about one thing, governments/central banks will try to control it or shut it down as it is a direct threat to the grip on their debt slavery system. 

Isn't the rule "do the opposite of what bankers say in public"?

Veritas X-'s picture

Never trust a (((luciferian))) & (((Lucifer-Coin)))...

>>>

**You can't make this shit up. It's literally Lucifer-coin. A coin with the Sigil of Lucifer as a logo and the name Morningstar (another name for Lucifer)**

 "So here's the logo of "Morningstar" coin with almost every f'n Luciferic symbol known to man mixed in. Clearly they realized though that Lucifer-coin could be thought badly of so they decided to opt for "a better marketing name" with "Morningstar." You really can't make this shit up it's so ridiculous.

Don't believe me? Let's have a look at some key points about the name and the logo...."

https://steemit.com/cryptocurrency/@newsandviews/you-can-t-make-this-shi...

X-

 

assistedliving's picture

I'm calling all of you neo-nazi's, fascists, white supremecist types out and asking you politely to get out

Fizzy Head's picture

you're talking to the choir now, million dollar bonus left along time ago...

assistedliving's picture

not sure what you mean fizzy but i had no clue what (((  ))) until i looked it up.

The use of triple parentheses or triple brackets, also known as an (((echo))), is an antisemitic symbol that has been used to highlight the names of individuals of a Jewishbackground.

I can joke and take a joke w/ the best of them but some of this stuff is way over the top

JB Say's picture

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

Could be talking about fiat money. But he is likely correct that governments will crush cryptos.

HungryPorkChop's picture

The take away is Dimon and firm truly fits the definition of Fascism which is the merger of state and corporate powers.  The video highlights Goldman and describes something similar to a coup happened at the DOJ. Goldman = Squid.  This is why Jamie Dimon can make  ridicilous remarks about Bitcoin and nothing will ever happen.

The Veneer of Justice in a Kingdom of Crime:

https://youtu.be/eHgbRYgpGGs

 

 

CPL's picture

Yeah, mining a BitCoin is a lot harder than people want to admit.  Takes a multidiciplinary LAN admin with a broad understanding of financial services to run a rig, and even that doesn't guarentee that you'll be profitable. Only reason most of us do it is because it's a cheap hobby and the ASIC processors that have been developed out of them are going to kick AMD/Intel up and down the road. (smaller, faster, better, cheaper...if you want to find the byproduct of BitCoin.  Look at all your cellphones, tv's, tablets, etc.)

So he's doing the only thing he knows.  Make FUD, manipulate the price lower on FUD and buy up what's available, if it's available.  The next problem Jamie is going to have is getting punished by the decimal point that slides to the right eight decimal places.  The loss potential for shorting anything becomes incredibly lethal by a minimum x4 multipler.  Last I looked they can only handle x3 leveraged ETF's, that those still bleed to death due to leveraged decay that is constructed by the options into the baskets sold (TZA, TNA, FAS, FAZ). If wondering, he's walked into a trap.

More specifically a monkey pot.

In village India, so I am told, there are men who earn some extra rupees by trapping and taming monkeys to be sold as pets. Over the years, through trial and error, several ways have been devised to capture these primates, but the simplest method is said to be the monkeypot. In a clearing, the trapper fastens a short piece of cord or thin chain to a stake or tree-stump. To the other end he attaches a small pot, one with a rather narrow neck. Into this pot he drops several nuts, and scatters a few more on the ground nearby. He then goes a short distance away to wait out of sight.

 

Soon a band of monkeys arrives and descends to feed. Before long, one of them discovers the contents of the pot. He puts his hand in easily enough, but, having grasped the enticing snack, he cannot pull his clenched fist out through the narrow opening no matter how hard he struggles. In fear and panic the trapped monkey creates quite a ruckus, which brings the trapper running with net and cage. The monkey's fate, for all his cleverness, is sealed.

 

At first glance it would appear that the villager is the trapper, the baited pot his trap, and the poor monkey his victim. No doubt the villager sees things the same way, and the hapless simian, were he able to speak, would likely agree. A closer look, however, shows a different perspective. The villager is not the trapper, nor the pot a trap, because there is nothing holding the monkey. He could very easily remove his hand from the pot and rejoin his kin in the freedom of the treetops if only he would let go of the nuts. If he would only let go!

 

The monkey in our anecdote does not suspect that he is being held prisoner solely by his mind. He has found some nuts. Greed — unreasonable and unreasoning desire — has arisen. Though the jungle abounds with fruits and nuts and all kinds of foods, his conditioned reaction dictates that he must have these as well. His narrow mindset is the only thing that imprisons him, that prevents him from letting go, from seeing the absurdity of his predicament as well as the obvious way out of it.

 

What's on the table for dinner?  Diamonds.

de3de8's picture

I can't help but think what a thousand bucks invested at infancy, especially not that long ago. Too conservative for my own good.

MagicHandPuppet's picture

Yeah same here. I came close to going in when they were like ten bucks or something (way below 100). I even opened a Mt Gox account but was too skeptical to pull the trigger - mostly because I don't trust anyone with anything, ever.

Metal in my hands, bitchez!

pazmaker's picture

Wow what great fella this Dimon is....... Heck of a guy and parent declaring his own daughter stupid before the whole world!!!

XqWretch's picture

probably one of the only honest things hes ever said

Bendromeda Strain's picture

Masters of the Universe are like Scientologists. Children don't matter... they just are. If she hasn't been abused she should consider herself fortunate.

Dave's picture

I was thinking the same thing. He must really love his daughter.

CH1's picture

He's a fucking sociopath. All who listen to him are suckers.

Arnold's picture

It's not insider trading if Daddy publically drives the price down.

VD's picture

if only you could go back a few hundred years and buy some exotic tulip strains (instead of gold)...

Justin Case's picture

He doesn't seem to be concerned of any lawsuit, but then again this is a trivial act compared to the muti-billion frauds and market rigging he's pulled off.

VD's picture

he is above the law and knows it.

TheReplacement's picture

Dimon shouts, "Bitcoin is a fraud!"

Dimon whispers, "Buy all the bitcoin you can."

No manipulation to see here.  Move along.

lester1's picture

Bitcoin is a fad. Kinda like pogs.

Ethereal's picture

Banana republics will try and kill Bitcoin. However, Bitcoin , if challenged in the USA would likely find constitutional protection under the first amendment. It is nice to see Jamie show his true facist colors...

Bendromeda Strain's picture

Tell that to Liberty Dollars, and before you say "muh Dollars", if you read the warrant you will see a fascist manifesto against competition currencies.

VD's picture

you really don't understand the constitution, do you?

 

hint 1: minting of monies. hint 2: the constitution is subverted. hint 3: tptb interpret constitutional laws for their ends; see Obumber.

 

Coinage Clause:

"The Congress shall have Power To...coin Money, regulate the Value thereof, and of foreign Coin...." Article I, Section 8, Clause 5

 

note: The Fed subverts this open-ended clause. now extrapolate to crypt0-"coins" in relation to said Fed, the unconstitutional privately owned yet fascist gov mandated minting agency. crypt0 at this stage may fall under "foreign coin" esp since bulk of "mining" takes place in Asia.

JimT's picture

I believe its classified as an asset , not a currency.

VD's picture

until it isn't. esp since it has coin in its idiotic name (ie they will invoke the name, then use said same to run down all the other crypt0's sans "coin" in name). and all other non-gov/IMF cryptos will too be classified as currencies and outlawed.

 

then you can still pretend that your monero is truly anonymous and never convert back to fiat, thus bartering at not insignificant risk.

 

this is how it all ends.

tmosley's picture

The constitution reigns in state power, not the power of the individual. The free banking era was a testament to that.

But then, how can anyone expect a peanut like you to know about anything that contradicts your assertions? You are literally blinded to such facts.

VD's picture

easy to comment as you do when you're unable to appreciate the contradictions in my post; i'd say brush up on reading skills, but that won't help you.

 

i'd also add research state's rights and how that de facto was designed to protect individuals' rights from  federal gov monstrosity that turned every individual into an all-caps corporation, but you wouldn't bother and know-it-all.

Mustafa Kemal's picture

"Bitcoin is a fad. Kinda like pogs."

Declarative statements are very popular now also, especially with teenagers.

They generally have no content.

Golden Phoenix's picture

I'll take 'Things a guy who lost his in ass in Pogs would say' for $200 Alex.

Obadiah's picture

First they laugh at you...

e_goldstein's picture

then they mock their children in public trying to scare you...

VD's picture

and then they let you "win" by forcing you to use their tech based on what you thought you were fighting for. look at India today.

buzzsaw99's picture

fascist maggot imo

spastic_colon's picture

yes, why does he give a shit if people want to part with their money; he's a banker for crissake!

time for him to load up again.

TheReplacement's picture

No.  He is driving the price down while he and his cronies back up the truck and load it till the springs snap.

E.F. Mutton's picture

He talks it down, and Clarence Beeks picks it up for him.