Jamie Dimon, chairman and CEO of JPMorgan Chase, recently expressed his frustration with bitcoin saying if people are “stupid enough to buy it,” they will pay the price. However, as bitcoin dances at all-time highs, can industry titans resist the urge to participate in the bitcoin craze?
Once the cryptocurrency is easily monetized, the wolves on Wall Street will take any advantage to flip a profit. Goldman Sachs CEO Lloyd Blankfein has already peaked the interest of industry leaders saying, “I will tell you, it hasn’t crossed my desk to set up a bitcoin trading desk, but I wouldn’t preclude it.”
After the CME announced that they would be launching bitcoin futures by the end of the year, the playground for big money and two-sided action was brought to life. Starting in the second week of December, traders will be able to short bitcoin futures. This finally allows market participants to make money when the value of bitcoin depreciates.
Despite the negative comments of Dimon and other business leaders, the low volatility environment of equities will leave no market untapped. New products will emerge from the bitcoin marketplace, leading to even greater euphoria. So do the titans of the banking industry really think bitcoin buyers are “stupid” or are they just waiting for their opportunity to squeeze the money out of this fresh marketplace?