As massive banks like JPMorgan and Wells Fargo prepare to release their Q2 earnings report next week, a growing threat to traditional finance, cryptocurrencies, are becoming too disruptive to ignore.
While many of these banks have resisted the coming changes, the smart ones are starting to change their tune.
Just this week, the German Central Bank released a statement acknowledging the need to adapt.
“While no one can predict the future with certainty, we know one thing for sure. Digital transformation is here, it’s now and it’s big. It changes the way we live and work.”
“We are not talking about “evolution”, about banking adapting to the wants and needs of a digital generation. We are talking about a true “disruption” that may change the financial sector for good.”
The statement comes less than two months after Bundesbank President Jens Weidmann ridiculed blockchain technology for being slow and expensive. As recently as June, Weidmann said that central bank crypto could have “serious consequences.”
While no one would accuse corporate bankers of sending consistent messages, such a sharp turnaround in such a short time points to a technology that cannot be ignored.
JPMorgan is a Trendsetter in Crypto Contradiction
JPMorgan has made blatant contradictions with their statements and actions. In 2017, JPMorgan Chase CEO Jamie Dimon infamously said “Bitcoin will eventually blow up,” and “it’s a fraud worse than tulip bulbs.”
It took him less than 5 months to renege on his original comments. He went on Fox to announce he “regrets” making those comments about bitcoin and that the “blockchain is real.”
As recently as January 2019,