Bitcoin is ‘a Ponzi scheme’ that ‘has no intrinsic value,’ JPMorgan CEO Jamie Dimon says

JPMorgan Chase Chairman and CEO Jamie Dimon has reignited his criticism of Bitcoin, calling it “a Ponzi scheme” that “has no intrinsic value.”

In an interview with 60 Minutes, Dimon reiterated his skepticism, saying, “Bitcoin has no intrinsic value. It’s used heavily by sex traffickers, money launderers, ransomware.” Comparing Bitcoin’s legality to smoking, he remarked, “I just don’t think you should smoke.”

BREAKING: Jamie Dimon says "Bitcoin itself has no intrinsic value… I just don't feel great about Bitcoin."

He compares the ability to buy and sell #Bitcoin to the right to smoke.

"But I just don't think you should smoke," he adds. pic.twitter.com/bT3F34Oaae

— The Kobeissi Letter (@KobeissiLetter) January 13, 2025

Despite his strong disapproval of Bitcoin, Dimon acknowledged the growing presence of digital currencies, likening Bitcoin’s status to smoking: legal but discouraged. His comments continue to fuel debates about Bitcoin’s place in the financial system, even as JPMorgan engages with cryptocurrency products, including Bitcoin ETFs.

Decentralized Ponzi Schemes

At a 2022 hearing before the House Financial Services Committee, Dimon elaborated on his views, describing cryptocurrencies as “decentralized Ponzi schemes.” However, he distinguished blockchain and decentralized finance (DeFi) as legitimate innovations with real-world benefits.

While Dimon recognized the potential of blockchain, smart contracts, and DeFi, he remained critical of tokens like Bitcoin, which he referred to as “nothing more than decentralized Ponzi schemes.” He also pointed to the prevalence of fraud, hacks, and rug pulls in the crypto space, which has led to significant financial losses for investors.

A Shift in Stance Over Time

Dimon’s opinions on cryptocurrency have evolved dramatically over the years. In 2017, he infamously called Bitcoin “a fraud.”,” predicting its eventual demise. Speaking at a Barclays-hosted event, he warned, “It’s just not a real thing; eventually, it will be closed.” He even joked about firing JPMorgan traders who dealt in Bitcoin, calling them “stupid” and stating, “If you’re stupid enough to buy it, you’ll pay the price for it one day.”

By 2018, however, Dimon expressed regret over his earlier remarks. In an interview with FOX Business, he admitted he shouldn’t have called Bitcoin a fraud. While his stance on Bitcoin itself remains largely critical, his nuanced view of blockchain and DeFi suggests an openness to certain aspects of cryptocurrency technology.

Dimon’s ongoing critique highlights the tension between traditional banking and the disruptive potential of digital currencies. Even as he questions Bitcoin’s value, the broader crypto industry continues to grow, challenging the financial norms his institution represents.