Dimon, who agreed that crypto companies ought to face the identical AML scrutiny as conventional companies, mentioned he would shut down crypto if he may.
The CEO of JPMorgan Jamie Dimon advised the USA Congress that he would shut down the crypto sector if he had the ability to take action. In accordance with him, cryptocurrency is especially utilized by criminals for illicit functions.
Dimon was responding to Massachusetts Senator Elizabeth Warren, who mentioned “proceeds of crypto crime” funded North Korea’s missile program. The Senator additionally mentioned crypto has additionally helped to fund Hamas. In response, Jamie Dimon advised Congress that he has “always been deeply opposed to crypto, bitcoin, etc.” He added that its “only true use case for it is criminals, drug traffickers … money laundering, tax avoidance.” He then said:
“If I was the government, I’d close it down.”
Dimon Speaks Alongside Wall Road CEOs on Crypto Rules
Jamie Dimon’s testimony was a part of a routine listening to earlier than the Senate Banking Committee. The JPMorgan CEO joined different chiefs talking to Congress, together with the CEOs of main Wall Road firms. Current on the listening to had been the heads of Citigroup, Wells Fargo, Goldman Sachs, Financial institution of America, BNY Mellon, and Morgan Stanley.
As a part of the questioning, Warren needed to know the CEOs’ opinion on whether or not or not crypto service firms ought to comply with the identical Anti-Cash Laundering legal guidelines banks at present adhere to. The CEOs all appeared to agree that the identical guidelines ought to apply.
Talking on cryptocurrencies and their potential use for illicit exercise, Warren requested lawmakers to take management of the scenario to stop misuse. She mentioned:
“When it comes to banking policy, I am not usually holding hands with the CEOs of multi-billion dollar banks, but this is a matter of national security. Terrorists, drug traffickers and rogue nations should be barred from using crypto for their dangerous activities. It is time for Congress to act.”
A spokesperson for the crypto-focused CEDAR Innovation Basis told Cointelegraph that Senator Warren’s feedback mirror “a lack of understanding of blockchain technology”. In accordance with the spokesperson, claiming that crypto facilitates extra illicit transactions than conventional fiat is “misleading”.
“The statements by Senator Warren and the bank CEOs are a direct recognition of the promise of crypto, decentralized finance, and blockchain technology as a direct threat to the traditional financial system,” CEDAR mentioned.
Earlier Crypto Criticism
Jamie Dimon has beforehand spoken up in opposition to the crypto sector a number of occasions. He as soon as advised individuals to “stay away from it”, stating that crypto is “nothing like a fiat currency” and “nothing like gold”. He additionally as soon as known as Bitcoin a “fraud”, describing it as a speculative asset that may by no means exchange fraud or change into an environment friendly cost system. Dimon has additionally described cryptocurrency as a “decentralized Ponzi scheme”.
Regardless of Dimon’s aversion to crypto, JPMorgan presents crypto companies to shoppers. The corporate launched a Bitcoin fund that provides personal banking shoppers a chance to put money into the asset. “I don’t care about Bitcoin. I have no interest in it. On the other hand, clients are interested, and I don’t tell clients what to do,” mentioned he.
