The defense of Jamie Dimon: JPMorgan in favor of investments in Bitcoin

Related

Revolut: the ML and AI-based system prevented scams for over €550 million

Revolut, thanks to its proprietary fraud detection system, based...

Bitcoin: what are automated teller machines and where to find them

Not everyone knows that there are Automated Bitcoin Teller...

The US Senators Lummis and Gillibrand lead a new legislation on Stablecoin

On a typical Wednesday in Washington, US Senators Cynthia...

Elevating Possibilities: The Countdown for WBS Dubai Begins!

Mark your calendars for an unparalleled gathering of blockchain...

Share

The CEO of JPMorgan, Jamie Dimon, has announced his intention to support people’s right to invest in Bitcoin.

Meanwhile, data on the Consumer Price Index (CPI) provided by the Bureau of Labor Statistics of the United States reveal a surprising acceleration compared to expectations.

Let’s see below all the details. 

JPMorgan CEO commits the bank to support the right to buy Bitcoin

As anticipated, the CEO of JPMorgan Chase, Jamie Dimon, has announced that, despite his reservations about Bitcoin, he will defend people’s right to purchase this asset if they wish.

During the Australian Financial Review Business Summit in Sydney this week, Dimon discussed the recent Bitcoin rally. Additionally, he shared his thoughts on the possible interest rate cuts by the US Federal Reserve this year.

Dimon told the participants the following: 

“I defend your right to smoke a cigarette and I will defend your right to buy a Bitcoin.”

However, he clarified that personally he would never venture into buying Bitcoin, considering it a risk in a context where governments could react negatively. As he commented:

“I think it’s a risk if you’re a buyer, when governments look at all this stuff, why do they put up with it?”

With the price of Bitcoin recently surpassing $72,000, Dimon has suggested a pause to investors. Specifically indicating that the surge could indicate a market bubble.

He also warned that buyers may overlook important signals: 

“I’m not so sure the world is so safe, or a risk-free place.”

Concerns about inflation and monetary policy

The price of Bitcoin has reached a new all-time high of $71,868.75, driven by the introduction of spot ETFs. This surge comes amid market expectations of lower interest rates throughout the year.

At the Australian summit, JPMorgan Chase CEO Jamie Dimon emphasized a preference for a cautious approach by the US Federal Reserve. 

While traders bet on possible rate cuts in June, Dimon advises to wait until the end of the year to preserve the credibility of the central bank.

Dimon emphasized the importance of data in guiding decisions, warning that inflation could be more persistent than expected. Therefore, keeping interest rates higher for an extended period.

The report on the Consumer Price Index (CPI) for February in the United States revealed a faster-than-expected increase, with annual inflation rising to 3.2%. 

The Bureau of Labor Statistics figures suggest a warming in the core rate, excluding food and energy, with a 3.8% compared to the expected 3.7%.

The overall inflation situation could influence the Fed’s decision to cut rates, with the CPI exceeding both monthly and annual forecasts.

Donald Trump: from skepticism to public support for cryptocurrencies

The former president of the United States, Donald Trump, surprised the audience by expressing unusual support for cryptocurrencies on Monday, highlighting their positive impact on his personal wealth.

Trump has also stated that he could further support the sector if re-elected in November.

During an appearance on CNBC’s “Squawk Box,” Trump acknowledged the widespread use of cryptocurrencies and expressed uncertainty about the possibility of their elimination. 

He spoke positively about his personal experience in earning with licensed products, including his collectible NFT purchasable with different cryptocurrencies.

“I make money, I also have fun,” Trump said about cryptocurrencies. He described the new currencies as “crazy” and noted their widespread use, citing the success of his limited edition golden Trump-themed sneakers recently launched.

Trump mentioned that cryptocurrencies have been used for transactions related to shoes, stating that a pair of “Never Surrender High Top” shoes were resold for $450,000. 

Despite the apparent support, Trump still issued a warning. In fact, according to him, a shift from an economy supported by the US dollar to an economy more integrated with cryptocurrencies could threaten America’s global dominance.