Dimon Unexpectedly Reverses On Bitcoin: "I'm Not Going To Talk About Bitcoin Anymore"

Tyler Durden's picture

And here comes Citi, realizing it desperately needs to get on the bandwagon now before it's too late:

  • CITI CFO SAYS CRYPTO AND DIGITAL CURRENCIES 'WORTHY OF EXPLORATION'

* * *

It's probably not a coincidence that on the day bitcoin hit new all time highs above $5,200, and just over a week after the WSJ reported that Goldman is planning a bitcoin trading operation, JPMorgan seems to be changing it tune.

With Bitcoin soaring nearly 100% from the bottom of the sharp selloff following Jamie Dimon's slam of cryptocurrencies as "frauds" exactly one month ago today, bitcoin was one of the more popular topics on today's earnings call, where JPMorgan CFO Marianne Lake confirmed what everyone already knew, namely that the technology underlying bitcoin - blockchain - is something the bank is investing in, and is "very optimistic" about the underlying technology of distributed ledgers and blockchain.

However, what was more interesting is that when asked whether the bank would consider looking at opportunities in digital currencies, Lake responded that JPMorgan is "open-minded" to potential use in the future for cryptocurrencies that are regulated.

This just one month after her boss, JPM CEO Jamie Dimon lashed out at the cryptocurrency, calling it a "fraud" which is "worse than tulip bulbs. It won't end well", will "blow up" and "someone is going to get killed." Oh, and that "any JPMorgan trader trading bitcoin" will be "fired for being stupid."

Fast forward one month, when bitcoin just hit a new all time high due to relentless demand, having completely ignored both China's ban of exchange trading and Dimon's rant, and with everyone - including Goldman - wanting to be part of it, JPMorgan clearly has no qualms about its "fiduciary obligation" when it comes to taking clients' money to help put them in what it has called - on the public record - a fraud.

That said, Jamie Dimon was far less verbose today, and as Bloomberg notes he wasn't keen to talk about bitcoin again when asked about the cryptocurrency during today's call.  Dimon said “I wouldn’t put this high in the category of important things in the world, but I’m not going to talk about bitcoin anymore.” Later he added that JPMorgan moves trillions of dollars a day “effectively digitally” today. "It’s not cash," he said.

Suddenly portraying itself as one of the biggest supporters of crypto tech, Lake said the bank is "at the forefront of trying to look at the efficiency, scaleability of the platforms" and use cases for clients. Lake added that blockchain is "transformational for the financial services industry" and the bank is "working hard [and] investing money" in it. 

Still, Lake said the bank is "very open minded to the potential use cases....for digital currencies that are properly regulated" though that area is "quite nascent." Which, needless to say, sounds quite  different from "we will fire anyone who is caught trading that tulip bulb fraud"...

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spastic_colon's picture

sell mortimer (jamie) sell!!

dasein211's picture

EXACTLY!!! I entered some more as well!! Put a little more tip in.

BaBaBouy's picture

Jimmy Smells MONEY, PROFIT. . . 

mpnut's picture

Say bad things before buying... Say good things after they buy.. Say better things after they sell..  Nothing new

tmosley's picture

This fucking douchebag needs to be investigated.

For lots of things, not just this shit.

TeamDepends's picture

Fuck you Jamie, you can NOT REGULATE BITCOIN!!!  Your days are numbered.

SoilMyselfRotten's picture

Should be fun to hear in the future how many quarters JPM will go without a losing BTC trading day.

BennyBoy's picture

 

It  took Dimon long enough to figure out how to fuck over clients with spoofing, rigging and plain old fraud.

BaBaBouy's picture

Jimmy is not Happy with Bitcoinz and Jimmy doesn't like USD Competition, Butt Jimmy will take the Profits where Jimmy can...

TheDude1224's picture

Can we short the banks yet, and if so, how do we collect? This is the dumbest thing I've seen yet, and that is saying something about these big banks. Let's transfer all of the bank's debt to a pyramid fraud to collect a few dollars before the whole thing collapses. Seems fool proof (/sarc)

IH8OBAMA's picture

I wouldn't say he reversed his position.  He just realized that his comments caused a firestorm and he doesn't need the attention that continued explanation would bring.  So why even bother to talk about it on the record?  Just wait for the coming day of recconning and merely say, I told you so.

 

mtl4's picture

Wow, a billionaire that says one thing and does another.......truly shocking these days!

Raise your hand if you saw that coming?!

tmosley's picture

TBH, it's easy to do when you're long.

YUNOSELL's picture

"as long as it's properly regulated" is code for "as long as (((we))) control it"

rccalhoun's picture

how did he avoid prison in 2008?  he's be paroled by now and be working at McD

TeamDepends's picture

Sure, because Ripple (XRP) was created by the banksters.  Which is why we won't touch it.

DjangoCat's picture

Ripple is a bankster trojan horse.  Stay away.

gn28's picture

he did say "regulated"... so add a crazy amount of overhead for regulatory compliance, maybe even VAT... and Bitcoin will be dead on arrival or you'll have JPM as the only entity able to trade it along with a hand full of other big banks / investment firms.

tmosley's picture

Next they will try to regulate the tides.

Bill of Rights's picture

Shocked to see gambling in this establishment...

covfefe MICdotard's picture

That article around here the other day about JPM desk traders bragging about making a killing is the bars the other day comes to mind.

 

(I can't remember if it was the article, or just anecdotes that came out in the comment section).

 

Evidence is building that JPM is using massive leverage, both with buying & selling, & with jawboning, to manipulate the shit out of BTC as if it were a pink sheet stock.

 

This comment by Dimon, under that pretense, would sure be a 'sell the rip' indicator.

Theta_Burn's picture

Uh oh, who will open that 1rst BTC desk? JPM or Goldman?

I so regret not buying into this farce..

syzygysus's picture

well at least the tulip bulb 'fraud' actually had tulips backing it.

 

what about fractional reserve banking?   full faith and credit?

 

what about bitcoin?  distributed ledger and ?

GRDguy's picture

Actually, before tulipmania finally blew up,

traders were buying and selling paper they knew wasn't backed by tulips.

 

DjangoCat's picture

Sounds like buying and selling synthetic mortgages before the 2008 implosion.

btClunker's picture

What is email backed by?

brucyy's picture

Or course you are jamie. Of course you are.

Ntoxic8ingWave's picture

Yah, regulated by the people you banking demon!

Son of Captain Nemo's picture

And why wouldn't he?... Jamie already has mined many thousands of "Buttcoins" pre and post this announcement!

You see... HE HAS FRIENDS IN HIS "COMMUNITY" WHO HAVE A PRINTING PRESS!

To Infinity And Beyond's picture

Interpretation:

If people are stupid enough to throw their money away on stupid shit I may as well pick it up.
Hell, I tried.

dasein211's picture

They do see their influence waning. Anyone with half a brain knows banks will be obsolete in 10 years. And you’ll be able to hold and buy stocks and bonds directly once again. No bastard prop desk fees or fund fees.

samsara's picture

10 years, Hmm, will Puerto Rico have internet access by then?

samsara's picture

If all their "Wealth" was in Bitcoins,  They would

tmosley's picture

If their wealth was in bitcoins, it is perfectly safe. Just get off the island, and go buy your own. Easy.

hestroy's picture

I hope you'll spend all your money for Bitcoins.

RedDwarf's picture

"10 years, Hmm, will Puerto Rico have internet access by then?"

A cellular link is all you need.  People in 3rd world countries with shit for infrastructure trade bitcoin all the time using just phones.

samsara's picture

Regulated Use"

Code word = controlled

RedDwarf's picture

Sure, but bitcoin is decentralized.  Trying to regulate it would be like trying to regulate the wind currents.  The most they can do is partially regulate the bridge between fiat and crypto.

So when they talk about regulating it, all they reveal is that they don't understand what bitcoin really is.

Havoc Squad's picture

Ripple = Banker attempt to hijack crypto.

moonstears's picture

XRP is meant to be utilized by banks, true = Seeing how the banks NEVER WIN, it'll surely be a total failure...

think about it

In other words: Don't hate the "pay-eh" hate the fuckin' game!

GlassHouse101's picture

Jamie was finally clued into the plan. Get the masses used to cryptocurrency now, then ban ALL of them except one (THE ONE WORLD CURRENCY)

Philo Beddoe's picture

Curious how they will outlaw barter. No sarc. 

I guess they are counting on most people having not much to trade. 

Maybe Pedro and Paco can mow my lawn if I let them drink from the garden hose. 

GlassHouse101's picture

Barter will will be the only way to survive if you refuse the one world currency.

tmosley's picture

No, you idiot. The plan was to jawbone it down with the help of the Chinese, and then buy, talk it up, and then dump it. Rinse and repeat.

It's what banksters do.

GlassHouse101's picture

you're missing the big picture, but it's OK, you're pretty simple.