It is no longer news that American banking giant JP Morgan recently launched it’s own cryptocurrency as the first bank to issue a cryptocurrency. However, the news has been received with mixed emotions, mostly anger as JP Morgan chairman Jamie Dimon is a known anti Bitcoin crusader.
However, Bitcoin billionaire and advocate Tim Draper says the launch is in the interest of Bitcoin. In a chat with FOX Business on Sunday, he said: “Not many bitcoin knock offs have worked particularly well, but they all add to the interest in Bitcoin.”
Draper has been a strong believer in the potential of Bitcoin as a digital currency and like many others have been advocating that investors should buy Bitcoin now as the price is low. It seems their predictions are coming true soon as the cryptocurrency market is showing signs of an impending bull run.
It could be that the current market recovery and price surge that Bitcoin is experiencing is as a result of the of the JPM Coin launch, no way to tell. The market is also showing a significant recovery for other cryptocurrencies as has been the trend. Tim strongly believes Bitcoin will be worth $250,000 in the next three years.
The JPM Coin is meant to facilitate payment on the internet, a service similar to Ripple’s remittance service. Many have been upset by the development although the other school of thought is that the new token will not be a challenge to Ripple at all.
JP Morgan already has a significantly large number of customers who will adopt its remittance service and it is likely to make a huge move. Ripple is also growing significantly with an expanding customer base but it is hard to tell if it has affected Bitcoin positively or negatively.
Is JPM Coin really contributing to the Bitcoin market or is it just a coincidence that the market is making a remarkable recovery just days after its launch? Will the recovery be sustained if it was actually triggered by JPM Coin? The week is still young so it will be interesting to see what happens to Bitcoin in the next few days and how things turn out in the long term as well.