JPMorgan Heavily Invests in BTC ETF Amid Its CEO DisapprovalÂ
JPMorgan is actively working on creating an exchange-traded fund (ETF) for Bitcoin (BTC), despite Jamie Dimon, the CEO, has long expressed opposition to cryptocurrencies. On Friday, December 29, it was revealed that JPMorgan would be heavily involved in BlackRock’s proposed Bitcoin Exchange Traded Fund (ETF).
BlackRock has been aggressively pushing the introduction of a Bitcoin ETF—a financial instrument that would give conventional investors exposure to fluctuations in the value of the top cryptocurrency.
According to recent industry speculation, JPMorgan is expected to have a significant involvement in creating and managing the Bitcoin ETF as part of this endeavor. Market watchers find it ironic that JPMorgan is involved in a Bitcoin-related project, especially in light of CEO Jamie Dimon’s well-documented disbelief and criticism of cryptocurrencies in the past.
Shortly after BlackRock disclosed JPMorgan’s involvement in the Bitcoin ETF initiative in an amendment to its S-1 filing with the United States Securities and Exchange Commission (SEC), analyst Dave Balchunas of Bloomberg Intelligence called attention to this irony. Balchunas made a social media post highlighting the inconsistency between Dimon’s stated position and the bank’s active participation in the Bitcoin market.
Dimon Continues it’s Cryptocurrency Slender Amid His Company’s Strange Alliance
Dimon has made many comments in the past that have dismissed the palatability of the BTC and urged the public to avoid any form of cryptocurrency investment. Dimon, also seen in 2017, called the cryptocurrency investment a “fraud.”
Presently, Dimon has been seen referring to cryptocurrency as a “decentralized Ponzi project” and has suggested that the government authorities move their attention from the regular banking system to the cryptocurrency industry. Two weeks ago, Dimon was heard telling the United States government to close down the cryptocurrency industry.
On December 6, during the State Senate Banking Committee meeting of Wall Street companies, Dimon told the committee that he has always strongly opposed Bitcoin and cryptocurrency. He went on to say that his only reason for this was its criminal characteristics. Dimon added that he would shut it down if he were the government.
Goldman Sachs Predicts Positive Future in BTC Adoption, Deaton Comments
With significant involvement from JPMorgan, BlackRock has proposed a Bitcoin ETF, representing the growing acceptance and assimilation of cryptocurrencies into traditional finance. Many people are interested in the possible introduction of a regulated Bitcoin exchange-traded fund (ETF), as this might allow more investors to access the cryptocurrency market through conventional financial channels.
This trend is expected to continue, with Goldman Sachs’ head of digital assets predicting significant growth and adoption in the digital asset market in 2024. John Deaton, the famous XRP lawyer, has commented on the trend. Deaton commented via his official X handle that he expressed doubt about Senator Elizabeth Warren’s position on BTC.
He pointed out that it is still a surprise that JPMorgan, headed by Dimon, will accept to get involved with BTC after many negative attributes and the allegation of being a criminal financial system. Deaton went on to ask if this is an attempt to deceive the general public and discourage them from participating in the cryptocurrency industry.
Dimon Yet to Counter Previous Claim About Cryptocurrency Despite Irony
Amaka Nwaokocha from Cointelegraph explained that JPMorgan’s participation in a Bitcoin ETF project significantly diverges from Dimon’s previous statements, emphasizing the dynamic environment and possible mentality shift in the financial industry.
The engagement of significant financial institutions such as JPMorgan and BlackRock strengthens the industry’s desire for more standardized and regulated access to cryptocurrencies.
Dimon, however, has yet to make any public statement that countered his previous ascension about cryptocurrency since BlackRock announced the JPMorgan alliance.
In October, JPMorgan launched a blockchain-based tokenization system with BlackRock as its primary client. The bank also significantly contributed to the $65 million funding for Consensys, an Ethereum infrastructure company, sometime in April 2021.
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