JPMorgan CEO: "Coins Are for Crime... If I Were the Government, I Would Ban Them"

Strong Criticism at US Senate Hearing
Bitcoin's Recent Sharp Rally

Remarks that poured cold water on the recent surge in Bitcoin investor sentiment have emerged. Jamie Dimon, CEO of global investment bank JP Morgan, strongly advocated for the 'abolition of cryptocurrencies.'

According to US CNBC on the 6th (local time), CEO Dimon appeared at a US Senate Banking Committee hearing that day. In response to Senator Elizabeth Warren's questions about cryptocurrencies, he stated, "I have always been deeply opposed to cryptocurrencies and Bitcoin."

CEO Dimon strongly criticized, saying, "The only real use case for (cryptocurrencies) is for crime, drug trafficking, money laundering, and tax evasion," adding, "If I were the government, I would ban it."

Jamie Dimon, CEO of JP Morgan [Photo by Reuters Yonhap News]

In response, Senator Warren also said, "We must prevent terrorists, drug traffickers, and rogue states from using cryptocurrencies for dangerous activities." Several major bank CEOs who appeared at the hearing urged that the same anti-money laundering regulations applied to financial institutions should also be applied to cryptocurrencies.

Cryptocurrencies have maintained an upward trend recently amid expectations that the US Securities and Exchange Commission (SEC) may approve a Bitcoin spot ETF (exchange-traded fund). The reason is that if a Bitcoin spot ETF is approved, large-scale funds such as institutions could flow into the cryptocurrency market.

A report from the UK-based global bank Standard Chartered also projected that Bitcoin prices could surpass $100,000 (approximately 132.62 million KRW) per coin by the end of next year, fueling rosy forecasts.

However, concerns have arisen that the stance of some US politicians and major banks, who worry about the risks of cryptocurrencies, could put the brakes on this 'Bitcoin rally.'

In this regard, CNBC also evaluated that it is rare for Senator Warren, who has strongly criticized the financial industry, to take the same position as major banks. Senator Warren emphasized at this hearing, "While I usually do not side with bank CEOs on banking policies, this is a matter of national security."

Senator Warren also pushed for legislation on the '2023 Digital Asset Anti-Money Laundering Act' together with several senators in July.