JPMorgan Chase Revealed as Significant User of Blockchain Technology by Jamie Dimon
Jamie Dimon, the CEO of JPMorgan Chase, has acknowledged that the bank he helms is one of the largest users of blockchain technology.
Dimon, who has been a vocal critic of crypto in the past, made the admission during an interview at the Financial Markets Quality Conference on Tuesday.
"We're probably one of the bigger users of blockchain, an actual user, like a real user," Dimon said, contradicting his previous stance on the technology. The CEO described blockchain as "a great way to share data" and a tool for establishing trust between banks and their customers.
For years, Dimon has taken a crypto-skeptical stance while simultaneously advocating for the merits of blockchain technology , including at the 2021 World Economic Forum in Davos, Switzerland, where he described Bitcoin as a "hyped-up fraud" but acknowledged blockchain as an "efficient" way to move money around.
JPMorgan Chase has been actively exploring the potential of blockchain technology for several years.
In 2020, the bank launched its own private, permissioned blockchain network called Onyx, which is designed for wholesale payments, peer-to-peer lending and borrowing, and cross-border transactions.
The Onyx network has reportedly processed over $700 billion worth of transactions and counts firms like Goldman Sachs, DBS Bank, and BNP Paribas among its users. Dimon, who once dismissed Bitcoin as a "hyped-up fraud," has now acknowledged the efficiency of blockchain in moving money around.
However, the banking magnate has not entirely softened his stance on crypto. He reiterated his skepticism, referring to Bitcoin as a "pet rock" and stating that the bank is unlikely to lend against crypto.
Dimon also noted that while clients have access to some crypto services through the bank, he believes in a "free country" where people can do as they please.
