The entire cryptocurrency industry is still reacting to the unexpected move by JPMorgan Chase. On the 14th of February, the financial giant launched the JPM Coin. This cryptocurrency is set to be the ultimate rival that would finally put the XRP token out of business according to some members of the cryptocurrency community. This is because the JPM Coin was created to do everything that XRP is already doing and more. There has been a lot of mixed feelings about the launch and for good reason.
You see, the CEO of JPMorgan Chase, Jamie Dimon, has been one of the most verbal critics of Bitcoin. He doesn’t sugarcoat his words or hide his disdain about cryptocurrencies. Less than two years ago, he said that Bitcoin is a fraud stating that the flagship cryptocurrency is worse than tulip bulbs. With this kind of opinion of cryptocurrencies, it was shocking to everyone when Dimon announced that JPMorgan Chase was making plans to launch its own cryptocurrency. In fact, the bank has already created a prototype of the JPM Coin and is getting ready to start testing it.
Tim Draper Talks About The JPM Coin
Many in the industry have said that the creation of a token by JPMorgan is going to help boost the global market capitalization and trading volume because of the traction the coin will bring. One of them is billionaire venture capitalist, Tim Draper. Talking to Fox Business on Sunday, the Bitcoin enthusiast said:
“Many Bitcoin knock offs have failed but they all add interest to BTC in the long run.”
Draper said JPMorgan entering into the cryptocurrency industry can be compared to Apple welcoming IBM to the PC business. He continued:
“This move will lead to the biggest change in the world’s history and it is exciting. I thought the advent of the internet was exciting. But this news will change everything completely. The government itself will change.”
Draper is one of the most optimistic Bitcoin enthusiasts in the world. Even with this cryptocurrency winter when the price of BTC had fallen from almost $20,000 to $3,200, Draper is still sure that there will be another bull run that will take the price of BTC to $250,000 by 2022.
According to Draper, this price increase will be driven by the mainstream market because everyone would finally realize that they need to secure, and decentralized currency for global transactions. Draper said:
“Over time, when people start taking bitcoin, I will move pretty much everything from the banks. There is no need to hold on to shells when I’ve got gold.”
Draper has been a venture capitalist since before the creation of Bitcoin. His investments in big companies like Tesla, Skype, Hotmail have all paid off. Over the years, Draper has invested millions in Bitcoin because he believes that blockchain technology is going to be the centerpiece of the virtual world.
When Jamie Dimon made the announcement, the price of BTC did not react. However, since on Sunday, the price of Bitcoin has been surging against the USD. At the time of writing, BTC was up by 4.33% trading at $3,938.72. The trading volume over a 24 hour period was $10,483,649,566 and the total market capitalization was $69,112,309,845.
Do you agree with Tim Draper? Is this news a good thing for the cryptocurrency industry? Share your thoughts below.