JPMorgan Chase Tests Blockchain “For a Whole Lot of Things”

According to Jamie Dimon, JPMorgan Chase tests Blockchain and “will use it for a whole lot of things.” He has also highlighted that Blockchain technology is “real.”

6 August, AtoZ Markets – Jamie Dimon, the CEO of JPMorgan Chase, has been expressing quite mixed opinions regarding the nascent Blockchain technology. At first, he has been spotted saying that Bitcoin “is a fraud.” Next, news outlets were quoting him saying that he was bullish on the technology.

JPMorgan Chase Tests Blockchain “For a Whole Lot of Things”

Now, in the latest news, Jamie Dimon has stated that fiat payment apps are “the biggest potential disruption to our business.” Harward Business Review has asked Mr. Dimon about his views regarding JPMorgan Chase’s competitive threats. He has named “new forms of payment” as one of them. 

To be more specific, Mr. Dimon has singled out PayPal, Venmo, and Alipay. He has also added that “these companies are doing a good job of embedding basic banking services in their chats, their social, their shopping experience.”

However, Mr. Dimon did not mention cryptocurrency as a potential threat. Nevertheless, when he was asked about his opinion on cryptos, he has replied:

 “I probably shouldn’t say any more about cryptocurrency.” 

Previously, he argued that cryptocurrency is “not the same as gold or fiat currencies,” which are “supported by law, police, courts […] [are] not replicable, and there are strictures on them.” He has also highlighted that Blockchain technology is “real,” adding that JPMorgan is “testing it [blockchain] and will use it for a whole lot of things.”

Mixed Opinions

JPMorgan’s official position on cryptocurrency and Dimon’s view do not always follow the same logic. However, both of them have changed over the past year. As we mentioned before, Mr. Dimon has called Bitcoin a “fraud” earlier in September 2017. That time, he has also threatened to fire any employee trading Bitcoin on the company’s accounts. 

This February, JPMorgan has issued a report, where it has mentioned cryptocurrency in the “competition” subsection. The bank has added that it could “put downward pressure on prices and fees for JPMorgan Chase’s products and services or may cause JPMorgan Chase to lose market share.”

The bank has also called cryptocurrencies “face of the innovative maelstrom around the blockchain technology.”

However, in the past few months, both JP Morgan and Dimon have been somewhat more bullish regarding the Blockchain technology. The bank has even filled a Blockchain-related patent earlier this May.

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