- Jamie Dimon, CEO of JPMorgan, criticised Bitcoin and suggested that the government should shut down the largest cryptocurrency.
- Grayscale reported significant outflows on its GBTC, while BlackRock’s earnings were insufficient to balance the losses.
JPMorgan Chase, the largest U.S. bank, disclosed its Bitcoin exchange-traded fund (ETF) holdings in a recent report. Despite having just $1.2 million in Bitcoin ETFs, this suggests a broader trend of acceptance for the cryptocurrency among major financial institutions.
JPMORGAN CHASE & CO, America's largest bank discloses spot Bitcoin ETF holdings pic.twitter.com/CllRcYuoUW
— Phoenix » PhoenixNews.io (@PhoenixTrades_) May 10, 2024
Robert Mitchnick from BlackRock noted that large investors, including pension funds, are beginning to explore Bitcoin ETFs. Mitchnick said that despite a slowdown in new investments, demand for Bitcoin exposure remains high.
Other financial institutions are also investing in Bitcoin ETFs. Edmond de Rothschild (Suisse) S.A. owns $4.2 million in shares, and Wells Fargo has also disclosed its Bitcoin ETF holdings.
NEW: Edmond de Rothschild revealed it holds BlackRock and Grayscale's spot #Bitcoin ETFs in recent SEC filing 👀 pic.twitter.com/jcOSW3UmAa
— Bitcoin Magazine (@BitcoinMagazine) May 10, 2024
However, JPMorgan’s CEO, Jamie Dimon, continues to be skeptical about Bitcoin. In December, he suggested that the U.S. government should shut down Bitcoin, calling it a “Ponzi scheme.”
Despite his opposition, JPMorgan created a passively managed Bitcoin fund for its wealthy clients in 2021. The bank was also listed among authorized participants for BlackRock’s record-setting Bitcoin ETF last year.
Bitcoin ETF activity showed varied results on Thursday. Grayscale’s Bitcoin Trust (GBTC) reported outflows of over $43 million, while BlackRock’s relatively smaller inflows of $14.2 million weren’t enough to balance them. Still, Bitcoin prices temporarily rose to $63,000 before declining.
These financial developments highlight that traditional financial institutions are slowly adapting to digital assets despite differing opinions on their stability. JPMorgan’s involvement reflects this gradual shift, even though its CEO remains critical. Ultimately, these contrasting attitudes show the varying views within traditional finance on the future of cryptocurrencies.
