Bitcoin dropped as soon as Jamie Dimon called its traders "stupid"

Mandy Carr
September 14, 2017

Dimon told an investor conference in NY on Tuesday that where currencies have legal support, Bitcoin would eventually blow up.

Dimon criticized Bitcoin in 2015 citing similar concerns, and he is not alone among those in big finance to cast a shadow on cryptocurrencies.

"It is worse than tulip bulbs", Dimon said, referring to a famous market bubble from the 1600s. It won't end well.

At a banking conference in New York, Dimon would let go anyone "in a second" if they were found to be trading in the cryptocurrency at the investment bank. "It will blow up".

As well as being the preferred currency of traders selling illegal goods and services on the dark web, hackers behind ransomware attacks such as May's global WannaCry outbreak typically demand payment in Bitcoins.

The price of bitcoin has fallen since Dimon's comments, though it's not clear if the fall was triggered by Dimon or other factors. In early NY trading on Wednesday, bitcoin traded at 3818.50 dollars, down almost 8 percent from the previous session.

Mr. Dimon's warning triggered a further 11-per-cent collapse in the price of bitcoin, which had already lost around 15 per cent of its value in 10 days.

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During an even hosted by Barclays, based on the information from Bloomberg and CNBC J Dimon did announce out his feelings for Bitcoin.

With CEX-IO, you can buy and sell Bitcoins for United States dollars or Euro with payment cards or via bank transfers easily. As of Wednesday 1 am EST, one Bitcoin traded at $USD4,033. He called it a "fraud" and said he would fire any trader at the bank who touched it.

Speaking at an investor conference in NY on Tuesday, JPMorgan Chase & Co.

He said more too, comparing today's Bitcoin fever to the Tulip Mania financial crisis of the 1600s.

Speaking later in the day at a different event, the Delivering Alpha conference, Dimon joked that just because prices were going up now didn't mean they would do so forever.

He said the best argument he had heard is that it can be useful to people in places with no other options - so long as the supply of coins does not surge.

However, the banker revealed that his daughter had bought bitcoin: "It went up and she thinks she's a genius now".

Other reports by Guamnewswatch

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