JPMorgan CEO Jamie Dimon to Shareholders: Decentralized Finance, Blockchain Are Real
JPMorgan Chase CEO Jamie Dimon sees decentralized finance (defi) and blockchain as real, new technologies that can be deployed in both private and public fashion. He also noted that JPMorgan is at the forefront of this innovation. JPMorgan’s Jamie Dimon Praises Defi and Blockchain
JPMorgan CEO Jamie Dimon recognized the merit of decentralized finance (defi) and blockchain technologies in his latest annual letter to shareholders, published Monday.
While talking about his company’s investments in technology, Dimon said: Decentralized finance and blockchain are real, new technologies that can be deployed in both public and private fashion, permissioned or not.
The CEO elaborated: “JPMorgan Chase is at the forefront of this innovation. We use a blockchain network called Liink to enable banks to share complex information, and we also use a blockchain to move tokenized U.S. dollar deposits with JPM Coin.”
According to its website, 39 countries are now covered within the Liink network. More than 25 of the world’s leading banks have signed up to participate and over 400 leading institutions have signed letters of intent to join. The global investment bank said that it “established Liink to find more efficient ways to transfer data through custom applications.”
JPMorgan explained that “JPM Coin is a permissioned, shared ledger system that serves as a payment rail and deposit account ledger, enabling participating J.P. Morgan clients to transfer US Dollars held on deposit with J.P. Morgan.” The coin “facilitates real-time value movement, helping to solve common hurdles of traditional cross-border payments,” its website details.
Commenting further about blockchain in his letter to shareholders, Dimon wrote: We believe there are many uses where a blockchain can replace or improve contracts, data ownership and other enhancements.
Nonetheless, he cautioned that for some purposes, “It is currently too expensive or too slow to be deployed.”
While praising decentralized finance and blockchain technologies, Dimon has not warmed up to cryptocurrency, even after JPMorgan began offering some crypto-related products to clients.
Dimon warned in November last year: “Cryptocurrency has no intrinsic value … I would be very careful.” In October, he said bitcoin was worthless and questioned its limited supply. In May, he advised people to stay away from cryptocurrency.
Last week, a JPMorgan report stated that there is limited upside for crypto markets. However, in February, the firm predicted that the long-term price of bitcoin would reach $150,000. Nonetheless, JPMorgan said global regulation is urgently needed for banks to help clients invest in crypto. Tags in this story blockchain technology, decentralized finance, Jamie dimon defi, jpmorgan, jpmorgan ceo, JPMorgan defi JPMorgan blockchain
What do you think about Jamie Dimon’s comments? Let us know in the comments section below. Kevin Helms
A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. Could the Government Confiscate Gold Again? A Look at Today"s "Emergencies" and Revisiting Executive Order 6102 FEATURED | 15 hours ago Ukrainian Charity Organization Launches NFT Sale FEATURED | 1 day ago
Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleNational Bank of Georgia to Regulate Country’s Crypto Sector Next articleMetaverse Will Be Most Popular Place to Buy, Trade, Store Cryptocurrency, Survey Shows Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItUS Bond Markets Signal Economic Downturn, Trend Forecaster Says if War Ensues "Odds of Recession Increase"
As Americans continue to deal with rising inflation, on Tuesday the spread between 2-year and 10-year Treasury yields inverted, signaling the U.S. economy may be headed for a recession. This week, a myriad of financial reports have noted that the ... read more.NFT Marketplace Opensea to Add Credit Card, Apple Pay Support via Moonpay Kenya Central Bank Governor: Low Smartphone Penetration Working Against Plan to Launch CBDC 19 Million Bitcoin Have Been Mined Into Circulation, 2 Million Left to Be Found Study: 10% Growth in Crypto Market Cap Reduces Value of African Firms by 0.76%