During a conversation with CNBC’s Squawk Box, Jamie Dimon talked about blockchain technology after Bitcoin (BTC) falling more than 80% since its all-time high back in December 2017.
Jamie Dimon is the CEO of JP Morgan and has been always against Bitcoin and cryptocurrencies. He called Bitcoin a ‘fraud’ and commented that governments were going to ‘crash’ Bitcoin with regulations.
At the World Economic Forum in Davos, Dimon told CNBC that he ‘didn’t take any’ when asked if he took any satisfaction in seeing Bitcoin dropping as it did during 2018. Although he has criticized Bitcoin several times, he has supported blockchain technology.
JP Morgan itself is currently working with distributed ledger technology in a permissioned blockchain platform known as Quorum. According to Dimon, Blockchain is a database that some companies can have access to and that is a better replacement for certain online databases.
As mentioned before, JP Morgan is working with blockchain technology in order to reduce the number of parties needed to verify payments around the world. This allows the firm to process payments in just hours compared to weeks. Some of the banks working with the platform offered by JP Morgan are the Royal Bank of Canada and Australia and New Zealand Banking Group.
IBM is also exploring blockchain technology solutions and how to implement them in many different industries. The financial sector could be drastically enhanced by implementing blockchain technology and using digital assets as well.
During the last year, Bitcoin has been in a bear market that affected the whole ecosystem. Back in December 2017, Bitcoin was reaching $20,000. After it, the popular digital asset dropped and the whole crypto market followed the trend.
At the time of writing this article, Bitcoin is being traded around $3,600 and it has a market capitalization of $63.13 billion. Although it has fallen throughout 2018, it still remains the dominant digital asset in the space.