Jamie Dimon, CEO of JP Morgan Chase, showed strong support for decentralized finance and blockchain technology in a recent letter to shareholders. The new version of him seems to be a 180 of his previous versions of crypto, and more in line with those of his company.

Blockchain and Defi are ‘real’

The letter, issued yesterday, addresses a variety of topics such as the geopolitical climate, macroeconomic conditions, the changing competitive landscape and company investments. Covering the latter, Dimon notes that JP Morgan has invested in modernizing the business over the last five years, to “compete with both banks and fintech companies.”

Among its new innovations is the JPM coin, a stablecoin backed by US dollars designed to be used by large companies in 2019. It offers the bank “account validation” and “programmable payments”.

The stablecoin is listed on the LIINK blockchain, launched in 2017, which is used by more than 400 financial institutions to date.

“Decentralized finance and blockchain are real new technologies that can be implemented both publicly and privately, with or without permission,” Dimon wrote. “JPMorgan Chase is at the forefront of this innovation.”

Indeed, interest in permissionless and even non-financial blockchains is growing. The United States Government Accountability Office published an assessment last month covering the pros and cons of using blockchain in pharmaceutical supply chains and for the issuance of digital IDs.

Similarly, the CEO of JP Morgan believes that there are “many uses in which a blockchain can replace or improve contracts, data ownership and other improvements.” That said, there are still some use cases that are “currently too expensive or too slow to implement.”

Dimon also admits that competition from fintech is “intensifying” and contributing to the diminishing role of banks in the global financial system.

No mention of Bitcoin

Despite the optimism about blockchain, Dimon did not explicitly mention Bitcoin, so he has never been enthusiastic. He has referred to the asset as “worthless”, and even asked investors to stay away from it.

However, the CEO acknowledged last October that some of his clients disagree with him. As such, he has stated that he would be willing to provide investment options for the Bitcoin lovers that his company serves.

Two months ago, the bank offered a “long-term” Bitcoin price prediction of up to $150,000.

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