JPMorgan Chase CEO warns investors to “beware of cryptocurrency”

In a hearing of the House Financial Services Committee on Thursday, JPMorgan CEO Jamie Dimon said that he is personally worried about cryptocurrencies, but will not let JPMorgan give up providing crypto-related financial services.

He said: “My personal advice to people is to stay away from it. It doesn’t mean that customers don’t want it. It’s about how you do business. Just like I don’t smoke marijuana, but if you legalize marijuana nationwide, , I will not stop people from spending money on it.”

Dimon stated that cryptocurrencies cannot be compared with fiat currencies or gold, and warned: “Buyers beware.”

JPMorgan Chase and its competitors are continuing to get involved in the cryptocurrency field, and the bank is preparing to provide private wealth clients with actively managed Bitcoin funds.

“A lot of our customers are asking,’Can we help them buy and sell cryptocurrencies?'” Dimon said at the JPMorgan Chase’s annual shareholder meeting on May 18. “We are investing in this.”

Embracing cryptocurrency is a shift for Dimon, who described Bitcoin as a “fraud” in 2017.

Previously, Dimon had told the Wall Street Journal that he was not a supporter of Bitcoin and had no interest in Bitcoin.

Dimon also made an interesting statement about Bitcoin: “I really don’t care about Bitcoin. I am not interested in Bitcoin. But the customer is very interested, and I can’t tell the customer what to do.”

Dimon told Congress today that JPMorgan Chase is discussing how to provide cryptocurrency products in a “safe” way.

He hinted that this asset class may benefit from a stricter regulatory framework. He speculated that the government will pay more attention to cryptocurrencies in the future.

Author/ Translator: Jamie Kim
Bio: Jamie Kim is a technology journalist. Raised in Hong Kong and always vocal at heart. She aims to share her expertise with the readers at Kim is a Bitcoin maximalist who believes with unwavering conviction that Bitcoin is the only cryptocurrency – in fact, currency – worth caring about.