[Bitcoin Now] Hundreds of Banks Ready to Trade... But JP Morgan Says "No Interest"

NYDIG "Developing Bitcoin Trading Program for Banks"
JP Morgan's Uncertain Moves... Bitcoin Fund Expected to Launch by This Summer

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Gong Byung-sun] The leading cryptocurrency Bitcoin remains just below 70 million KRW. Meanwhile, as banks in the United States prepare for Bitcoin trading and plan to launch related funds, the US giant investment bank JP Morgan has expressed a negative stance.

According to the domestic cryptocurrency exchange Upbit, as of 2:53 PM on the 6th, Bitcoin recorded 69.41 million KRW, up 1.06% compared to the previous trading day. Since the 3rd, it fell to 66.5 million KRW but has been fluctuating, rising again to the 70 million KRW range.

It has been revealed that hundreds of banks in the US are preparing for Bitcoin trading. According to US economic media CNBC on the 5th (local time), Patrick Sells, head of the banking division at New York Digital Investment Group (NYDIG), a cryptocurrency-specialized investment firm, said, “We are collaborating with financial services technology company Fidelity National Information Services to create a Bitcoin trading program for banks,” adding, “Hundreds of banks have already registered, including major banks.” If banks launch Bitcoin trading services, NYDIG will be responsible for the banks’ Bitcoin custody operations.

While JP Morgan also announced its entry into the cryptocurrency market, CEO Jamie Dimon showed contradictory behavior. According to the Wall Street Journal (WSJ) on the 4th, at a WSJ-hosted event, CEO Dimon said, “It is true that blockchain is actually being utilized, but for currency to be traded, it must be supported by a country’s tax authorities, central bank, and rule of law,” adding, “I have no interest in Bitcoin at all.” CEO Dimon had previously likened Bitcoin to a scam in September 2017.

Nevertheless, JP Morgan is preparing to launch a Bitcoin fund. In February, JP Morgan said it could not maintain a high price due to volatility, but on the 26th of last month, it announced plans to launch a Bitcoin fund by this summer. Cryptocurrency-specialized foreign media CoinDesk explained that as competitors Goldman Sachs and Morgan Stanley entered the cryptocurrency market first, JP Morgan also began preparing related products.

Meanwhile, Dogecoin has risen to the 4th position in cryptocurrency market capitalization. According to the cryptocurrency market status relay site CoinMarketCap, as of the same time, Dogecoin’s market cap recorded $85.2 billion (approximately 95.9096 trillion KRW), following Bitcoin, Ethereum, and Binance Coin. It rose about 107.44% over the past week, more than doubling its market cap. US economic media Bloomberg explained that Dogecoin surged due to Tesla CEO Elon Musk’s appearance on a variety show. Developed in 2013, Dogecoin is known to have been created simply as a joke without technical goals.