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Key facts:
JP Morgan attributed to the millennials, the correlation between Bitcoin and the S&P 500.
Stresses that young people do not see Bitcoin as an investment, but as an alternative to the dollar.
Very gone are the times in which Bitcoin (BTC) was regarded as a fraud by the most senior managers of the financial company JP Morgan. Now, however, the cryptocurrencies are welcomed, praised and even developed by this institution.
In this context friendly the financial group recognizes that, currently, investors are interested in alternative assets to the national currency, but that the chosen investment varies according to age: the younger buy Bitcoin and the elderly prefer the gold.
The young millennials prefer Bitcoin instead the older prefer the gold. Composition by Breaking News. f9photos/elements.envato.com; frmso/piqsels.com
With regard to the stock market, JP Morgan, under the leadership of Nikolaos Panigirtzoglou, ensures that the millennials are buying shares of technology companies and, in change, the older you are undoing your actions to pass the instruments to be less volatile as the bond funds.
The company attributed precisely to the millennials and their investments, the fact that the correlation between Bitcoin and the S&P 500 index has increased since march as detailed Breaking News in his time. In addition, they highlight that young people do not see Bitcoin as an investment but as a currency alternative to the dollar.
Michael Sonneshein, director of the management company of funds to Grayscale, after hearing the statements of the group, JP Morgan, showed his approval of the decision of the millennials. Used for this an analogy own ice hockey: “you have to skate toward where it goes on the disk, not where it has been”.
JP Morgan and Bitcoin: a relationship with the beginning complicated and happy ending
Unlike what happened with the gold metal to John P. Morgan was regarded as the only true money, the company JP Morgan are not always seen with good eyes to Bitcoin and the cryptocurrencies.
But, as Breaking News was portraying in his notes over the years, this perspective was changing.
In September 2017, the CEO of this banking institution, Jamie Dimon railed against Bitcoin to qualify for fraud. He also said on that occasion that it would fire any employee of yours who deal with Bitcoin because it is considered “stupid”.
A month later, in statements to the press, came back to qualify to Bitcoin of fraud and pointed out that the investors that relied on the criptomoneda “pay the price” for investing in a “stupidity”.
Also for those days Dimon spoke on the topic and, with an attitude less belligerent said to see something good in Bitcoin: the blockchain. The banker argued that this technology “could be used for digital dollars”. In fact, JP Morgan is already experimenting with the blockchain from a year ago.
It wasn’t long before the company was denounced in the courts of Sweden for the manipulation of markets. Is that, a few days after the statements of Dimon, and after the fall of the price of Bitcoin, JP Morgan stood out as one of the most active buyers of the criptoactivo.
From there began a phase of gradual public acceptance and, for certain cases, incorporation of the cryptocurrencies.
As an illustration of the saying that goes “if you can’t beat them, join them”, in February of 2019 JP Morgan announced the development of its own criptomoneda: JPM Coin, a stablecoin that maintains parity with the u.s. dollar.
On Bitcoin, the company highlighted recently, during the crisis of the Covid-19, that “resists adversities better than other traditional markets”.