SoylentNews is people
SoylentNews
In a recent Reuters story http://www.reuters.com/article/us-usa-banks-conference-jpmorgan/jpmorgans-dimon-says-bitcoin-is-a-fraud-idUSKCN1BN2KP, JPMorgan's Jamie Dimon threw a bomb at the emerging cryptocurrency.
In the story he states, "The currency isn't going to work. You can't have a business where people can invent a currency out of thin air and think that people who are buying it are really smart."
He goes on to compare Bitcoin to the 17th-century Dutch tulip bulb situation.
Is he right, or is he just shilling for the present system of imaginary-value fiat currencies?
[Separately, according to Bloomberg, Bitcoin has been on a five-day decline: Bitcoin Crashes After Chinese Exchange Says It Will Halt Trading. --Ed.].
This discussion has been archived.
No new comments can be posted.
JPMorgan's Jamie Dimon Says Cryptocurrency a Fraud, Bound to Fail
|
Log In/Create an Account
| Top
| 69 comments
| Search Discussion
The Fine Print: The following comments are owned by whoever posted them. We are not responsible for them in any way.
Everything you know is wrong!
(Score: 4, Interesting) by Anonymous Coward on Friday September 15 2017, @06:02AM
Hmmm, what would I rather have, the heat of a burning plastic banknote or that of a decent 'mining' rig?
But yes, the whole 'cryptocurrency' thing stinks, the thing is, so does the whole 'currency' thing.
As an example, in England there is the infamous 'promise to pay the bearer on demand' bit on the banknote, where, in theory, at some point in the past you could have exchanged the note for its equivalent value in gold. Nowadays, you present them with, say, a £20 note, what you'll get is the value of the £20 note in smaller denominations..the currency 'backed by gold' bit seemingly went the way of the Dodo back in the 1930's, since then it's been effectively a state backed 'funny money' scheme.
In the UK, we also have an 'even funnier money' scheme in operation with the Scottish and Irish banks which issue their own notes. At one point, in the not too distant past, ISTR the Scottish banks used to have to 'cover' the value of their issued notes in circulation by having the equivalent amount of silver squirrelled away in dark,dank caves deep under Edinburgh guarded well by wild and woolly Aberdonians (well, maybe not in caves...) and the amounts verified to a nanogram on a weekly basis (otherwise the Bank of England got rather pissy about things...). Nowadays, they can 'cover' the value of currency they've issued by holding the equivalent in Bank of England notes in their coffers...Scottish Monopoly money backed by English monopoly money...and the Bank of England currency issue is now backed by, rather than something nice, shiny and tangible like gold, yet another set of intangible (but no doubt, full of beautiful calligraphy and laden with such intricate guilloché work that you would require an electron microscope to fully appreciate the detail) notes in the form of 'securities'.
Of course, IANAGOZ, so Feh!, what do I know?....