JPMorgan: Cryptocurrencies Are a Threat to Us
March 1, 2018
One of the largest banking holdings in the world JPMorgan Chase in its annual report for 2017 called cryptocurrency a direct competitor and said that they may cause a threat to the bank itself. The document was published this Tuesday, February 27.
"Both financial institutions and their non-banking competitors face the risk that payment processing and other services could be disrupted by technologies, such as cryptocurrencies, that require no intermediation."
The report also noted that some new technologies related to cryptocurrencies "could require JPMorgan Chase to spend more to modify or adapt its products to attract and retain clients and customers or to match products and services offered by its competitors, including technology companies". The bank has not mentioned blockchain technology directly, however it is pretty clear that this technology was meant there.
It is said in the report that if the bank lose this competition, then the market share of JPMorgan Chase may reduce.
Recall that last month the head of blockchain initiatives at JPMorgan Chase Umar Farooq