While many on Wall Street are rallying behind JPMorgan CEO Jamie Dimon and his vitriol against Bitcoin, there are others who are far less skeptical.
Another major financial institution on Wall Street, that of Morgan Stanley, have had their CEO James Gorman come out and say that Bitcoin is not a fraud, nor even a ‘fad.’
While Gorman has not come out as a staunch advocate of Bitcoin, he has highlighted the potential attractions and given his opinion that there is a future for the digital currency.
Gorman has said that Bitcoin is at least “more than a fad” and that the privacy and control it offers is appealing.
“I haven’t invested in it. I’ve talked to a lot of people who have. It’s obviously highly speculative but it’s not something that’s inherently bad. It’s a natural consequence of the whole Blockchain technology.”
Gorman even took a swipe at the amount of control and level privacy that banks have over other people’s money stating: “It is interesting because what it says to the central banking system about controlling that [privacy].”
Wall Street continues to be divided along Bitcoin lines, with some in the Dimon camp while others have differing levels of support for Bitcoin and its affiliates, as well as its underlying technology.
The talk of bubbles has been on the lips of many investors who do not want to take the plunge in case it could all end in a big pop.
However, there are some like Former Fortress Investment Group manager Mike Novogratz, who is happy to back Bitcoin while also calling it a bubble, hoping to profit while there is still air in the bubble.
The question of regulation
Gorman, as well as Morgan Stanley as an entity, have wondered about the effect of regulation, and when governments will start to get involved.
Indeed, China has set the ball rolling in a big way with their hard-nosed approach to ICOs and exchanges in recent time.
Gorman believes there is a lot of reasons for governments to try and control digital currencies, from money laundering to control capital outflows “and all the other reasons.”