- In 2014, the CEO of JPMorgan Chase, Jamie Dimon, argued that bitcoin supported illicit purposes and was a poor store of value.
- JPMorgan led by creating a digital currency two years ago.
7 years ago, key individuals in Wall Street’s largest banks were worried that any regulations of Cryptocurrencies by the Federal government would legitimize Cryptos. Financial executives around the world viewed cryptocurrencies as a financial industry threat.
In 2014, the CEO of JPMorgan Chase, Jamie Dimon, argued that bitcoin supported illicit purposes and was a poor store of value. In the same year, Rodgin Cohen, a renowned financial lawyer, highlighted that the Fed was scared by the applications of cryptocurrencies.
However, these worries were followed by the issuing of BTC business licenses by the New York’s Department of Financial Services in 2015. In the U.S., an estimated seventy-five million people are holding BTC. This is an increase from the 3 million users in 2014. Crypto.com highlighted that an estimated 220 million individuals hold cryptos around the world. This report was released in July 2020.
Bain & Company’s partner, Thomas Olsen, highlighted that in the future, most of the assets will have a digital form.
Currently, banks are getting on into crypto investments as a way of seeking a competitive edge. Recently, institutional investors were marked as the cause of BTC’s ongoing bullish momentum. Institutional investors are currently buying BTC to hedge against inflation. With gold’s past 2-year stagnation, BTC is proving to be the new preference for a hedge. Banks are actively involved in the creation 0f crypto regulations that favor them as they venture into crypto with an experimental approach.
Notably, JPMorgan led by creating a digital currency two years ago. Banks have now seized to warn regulators against crypto regulations. They are now calling for faster regulations to ensure they are not too late in this new venture.
The move by El Salvador and the changing sentiment by the executives of the largest banks in the world reveal a slow adaption of cryptocurrencies by the banks.
In 2020, the Kenyan Wallstreet tweeted that the CBK, led by Chairman Patrick Njoroge, was holding discussions on the introduction of digital currencies in the Kenyan banking system.
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