JP Morgan's Dimon regrets calling bitcoin a 'fraud'

Bitcoin

Dimon: I regret calling bitcoin a fraud

"You can have cryptodollars in yen and stuff like that".

"The bitcoin to me was always what the governments are going to feel about bitcoin as it gets really big", he said.

Initial coin offerings, however, "you have to look at individually", he said in the interview.

"We're going to consider a whole bunch of different things", he said, "but also around helping accelerate growth in America like small businesses, like branches, like affordable housing, things like that which I think have a double effect". The price of bitcoin, the most ubiquitous of the currencies, has more than tripled to US$14,297 since Dimon made his comments in September.

"If you're stupid enough to buy it, you'll pay the price for it one day", he said in response to a moderator question at an Institute of International Finance conference in October.

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His comments were swiftly followed by similar criticisms from rival banking CEOs Tidjane Thiam at Credit Suisse and Lloyd Blankfein at Goldman Sachs, and Bridgewater CEO Ray Dalio, who called out the cryptocurrency - and the maelstrom surrounding it.

Moreover, J.P. Morgan Chase Chief Executive spoke about Silicon Valley's startups as new rivals that are "looking to compete with banks". To be fair, a concern shared even by Bitcoin lovers.

It is noteworthy how the outspoken CEO repeated his positive stance on the technology backing bitcoin, the so-called blockchain. And now, when the most vigorous critic has publicly changed his mind, it's another demonstration of the technology's worthiness. It allows buyers and sellers to interact directly, while their exchange is recorded on the blockchain ledger.

J.P. Morgan Chase is creating a blockchain system called the Interbank Information Network.

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