JPMorgan Chase CEO: Crypto Firms Want To Eat Our Lunch

The CEO of JPMorgan Chase, Jaimie Dimon, recently sat down with Yahoo Finance’s Editor-in-Chief for an interview. The interview casts some light on how JPMorgan Chase views cryptocurrencies in general, and Facebook’s Libra specifically. Perhaps most notably, Dimon remarked that he believes crypto firms “want to eat JPMorgan’s lunch”.

Jamie Dimon: Crypto firms want to eat JPMorgan’s lunch

In the interview, Dimon answered a question about whether blockchain can be described “to be the future”.

“Well, blockchain’s real. We have the JPMorgan Coin blockchain. And competition is real. I think there are serious issues around money, and how you can use money and send money, but they’re government issues.”

“We don’t want to be forced into someone else’s ecosystem,” Dimon continued. With that said, Dimon also went into detail on how he urges employees at JPMorgan Chase to remain vigilant. 

Specifically, Simon notes how these competitors, especially cryptocurrency competitors, want to get a slice of the lucrative market JPMorgan holds.

“I tell our people ‘don’t guess’. You know they [crypto firms] are there, you know they’re coming, you know they want to eat our lunch. Assume it.”

Whether or not cryptocurrency startups are specifically aiming to “eat JPMorgan’s lunch” or not, it remains true that JPMorgan Chase could face intense competition from cryptocurrency firms. As such, Dimon highlights how JPMorgan Chase is focusing on keeping up with the changing times.

JPMorgan foresees competition from crypto firms

JPMorgan Chase has developed its “JPM Coin” in order to settle payments, and Dimon also noted that the firm is working with “Robo Trading” among other things. However, in response to whether or not cryptocurrencies represent an “existential threat” to JPMorgan, Dimon was hesitant to agree on this.

I don’t think so. I mean people don’t think like… We move $6 trillion dollars per day around the world. It is very cheap, very secure. It works, and the banking system has already built [competing systems]. […] We already have all that. And it’s very cheap, it’s very secure, it shares a lot of information.” 

Nevertheless, Dimon admitted that the cryptocurrency sector is reshaping the industry. Moreover, he also agreed that he foresees crypto and blockchain companies possibly becoming major competitions to JPMorgan Chase.

“We’re going to have competitors, whether it’s a cryptocurrency competition or another FinTech competitor. We’re going to have competitors.”

Image Source: CNBC

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