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JP Morgan Chase "betrayal and separation"? Its global market strategists believe the regulated bitcoin futures confer bitcoin legitimacy



Given JP Morgan Chase CEO Jamie Dimon's bitter stance on Bitcoin, it is ironic when JPMorgan's global market strategists come out saying that regulated Bitcoin futures confer bitcoin legitimacy.

Officially approved


U.S. regulators' decision to ratify the Chicago Board of Trade (CME) trading of Bitcoin futures has pushed Bitcoin into the mainstream financial industry. Just after CME assured the CFTC that this bitcoin futures product will comply with existing laws, CME has been formally approved by regulators.

JPMorgan global market strategist Nikolaos Panigirtzoglou also believes that this move will give bitcoin legitimacy. In a note to investors, he said:


"The forward-looking launch of bitcoin futures contracts on existing exchanges is likely to add legitimacy to bitcoin, increasing the attractiveness of cryptocurrencies to retail and institutional investors.


Analysts' perspective conflicts with CEO


JP Morgan Chase CEO Jamie Dimon has a strong view of Bitcoin: He believes the currency is a scam and even threatens to fire any "foolish" employee who buys bitcoin. He growled that the government would close bitcoin, a bubble that would ruin investors.

Dimon is not the only one with this vision - other industry tycoons, such as Warren Buffett, said it is best to avoid investing in bitcoin. However, this has not stopped Bitcoin prices from rising to new highs.

Panigirtzoglou appears to be diametrically opposed to his boss, saying Bitcoin is a new asset class:


"A value function of this new asset class is the breadth of acceptance as a repository of wealth and as a means of payment and the determination of other wealth stores, such as gold, that cryptocurrencies have the potential for further appreciation.


JP Morgan Chase out of Jamie's internal view?


While JPMorgan Chase CEO Jamie Dimon sees bitcoin as an enemy, JP Morgan appears to have capitalized on the opportunities offered by the rise of the currency. The bank recently invited technology venture capitalist Butter Stephens to discuss bitcoin at JPMorgan San Francisco. Stephens addressed fund managers and clients, though Dimon was particularly hostile to Bitcoin.

An anti-bitcoin comment by Jamie Dimon led to a bit of Bitcoin bitter fall when JP Morgan bought a bitcoin tracking unit. This led Jamie Dimon to a market manipulation lawsuit in Swiss courts. After CME announced the launch of bitcoin futures, JP Morgan outbid observers to announce they might add bitcoin futures to their own product list.