Don’t dismiss bankers’ predictions of a bitcoin bubble – they should know

  • Jamie Dimon, the chief executive of JP Morgan, said last week that the ascendancy of the virtual currency bitcoin – which has risen in price from just over $2 in 2011 to more than $4,000 at points this year – reminded him of tulip fever in 17th-century Holland.
  • Taking out a mortgage denominated in bitcoins is not advisable and, luckily for those stupid enough to try it, you won’t find a high street bank willing to underwrite it.
  • But some of the perceived flaws behind bitcoin that alarm Dimon – no central authority, a public ledger of transactions – point to the foundations of a new financial establishment.
  • Dimon, a modern high priest, faces a rival value system in bitcoin.
  • Households might cope with a move to 0.5%, but if a rate increase augurs a sustained move against cheap borrowing and persistent inflation, then a wider rethink of ambitions, from getting further up the housing ladder to buying a new car, will be needed.

The virtual currency’s success reflects the continuing lack of trust in traditional banking following the credit crunch
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JPMorgan CEO says bitcoin is for murderers, drug dealers, and North Korea – VICE News

JPMorgan CEO says bitcoin is for murderers, drug dealers and North Korea

  • That’s the opinion of Jamie Dimon, the billionaire CEO of America’s biggest bank JPMorgan Chase, who said he’d fire any employee he caught trading the cryptocurrency.
  • Dimon’s thrashing of bitcoin sent its price plummeting Wednesday, but despite the very public criticism of the world’s most valuable cryptocurrency, Dimon and JPMorgan continue to be a leader in the financial world in implementing new technologies based on the blockchain, the distributed ledger technology that underpins bitcoin.
  • A day after he made the remarks, the price of bitcoin has dropped from $4,250 to $3,790, dipping below the $4,000 mark for the first time in over a month.
  • Bitcoin’s value has soared in 2017, from less than $1,000 at the turn of the year.
  • READ: Bitcoin is about to blast past $5,000 — and that’s a problem

Bitcoin is a scam and it’s only useful for drug dealers, murderers, and North Korea. That’s the opinion of Jamie Dimon, the billionaire CEO of America’s biggest bank JPMorgan Chase, who said he’d fire any employee he caught trading the cryptocurrency. Dimon’s thrashing of bitcoin sent its price plummeting […]
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