JPMorgan Chase CEO Jamie Dimon expressed strong reservations about bitcoin and other cryptocurrencies during a Capitol Hill hearing on Wednesday, asserting that they should be prohibited.
In response to Senator Elizabeth Warren's questions at a Senate Banking Committee hearing, Dimon stated, "I've always been deeply opposed to crypto, bitcoin, etc. The only true use case for it is criminals, drug traffickers...money laundering, tax avoidance."
Dimon went further, emphasizing that if he were in the government's position, he would shut down cryptocurrencies. Despite these remarks, it's noteworthy that Dimon's bank is actively engaged in blockchain, the foundational technology supporting the $1.6 trillion cryptocurrency industry.
This isn't the first time Dimon has criticized cryptocurrencies, having previously labeled bitcoin as a "hyped-up fraud," a comment he later retracted. He had also likened it to a "pet rock."
During the hearing, under additional questioning from Senator Warren, Dimon and other CEOs of major banks agreed that crypto companies should be subject to the same anti-money laundering regulations as established financial institutions.
Interestingly, this discussion brought about a rare moment of agreement between the banking leaders and Senator Warren, who is typically a stringent critic of the industry. She emphasized the importance of treating crypto companies with the same regulatory scrutiny to prevent terrorists, drug traffickers, and rogue nations from exploiting cryptocurrencies for nefarious activities, framing it as a matter of national security. Senator Warren urged Congress to take decisive action on the issue.