Cryptocurrency news

JPMorgan Co-chairman: "We will start working with bitcoin if there is demand»

JPMorgan Co-chairman: “We will start working with bitcoin if there is demand»

Daniel Pinto, co-chairman of the US investment bank JPMorgan Chase, said that sooner or later the bank will have to work with bitcoin due to the growing interest in this asset.

Daniel Pinto) He said that the bank’s decision to introduce services that work with bitcoin will depend on the demand of customers for cryptocurrency trading. To date, JPMorgan’s clients are not sufficiently interested in digital assets. However, Pinto is confident that bitcoin will continue to develop and attract attention. If, over time, bitcoin becomes an asset that will be widely used by investors and asset management firms, JPMorgan will be forced to work with it to meet the needs of its customers.

Earlier, the head of international markets development at JPMorgan, Troy Rohrbaugh, said that the bank’s employees were increasingly interested in the bank’s plans for bitcoin. Therefore, Pinto decided to express his opinion on these issues, adding that he is open to bitcoin and is ready to explore its potential.

The use of bitcoin by JPMorgan would seem ironic, given that JPMorgan CEO Jamie Dimon has a negative attitude towards cryptocurrencies. In September 2017, Dimon called bitcoin a scam, comparing the hype around it to “tulip fever”. Three months later, the BTC exchange rate reached $20,000. However, the success of bitcoin did not last long, as after a few months, it entered a long bear market. BTC began to grow rapidly last year, when it began to be bought by large investors, which include Microstrategy, Square and Stone Ridge. This week, bitcoin jumped the $48,000 mark, and is now trading around $47,500. The market capitalization of bitcoin is more than $880 billion.

JPMorgan experts have different opinions about bitcoin. The team of analysts at JPMorgan, led by Nikolaos Panigirtzoglou, believes that in the long term, the BTC rate will rise to $146,000. And JPMorgan strategists John Normand and Federico Manicardi doubt that bitcoin can be called a reliable tool for hedging risks during the economic crisis.