I have been hearing this a lot of late in the crypto community and now it seems the acquisitions and comments are now hitting the mainstream with Television and authorities constantly digging up something to say about bitcoin.
I am from the UK and just the other day on our Sky news we had a headline of crypto currency scam, now I immediately sat down and thought oh crap what is going on now? It turned out it was the Twitter and LinkedIn scam that has people copying famous people accounts and trying to get them involved with deposits of money.
Now a scam is a scam but these thieves decided that a nice untraceable way to get paid is through bitcoin and there you have it, not a twitter or LinkedIn scam but a crypto currency scam? So I thought to myself is it that crypto is hitting the headlines or is it that the headlines know it is a hot topic and guarantees a viewer base so throwing the words crypto or bitcoin in the mix will hit the pages?
So let’s reverse up and talk about the basics of bitcoin and how it may or may not be a scam, do you remember Jamie Diamon of JPMorgan saying this?
Jamie Dimon, chairman and CEO of JPMorgan Chase, says Thursday he's "not going to talk about bitcoin anymore" after causing a stir in September by calling the digital currency a "fraud."
But on Friday, Dimon responds to a question about bitcoin by saying if people are "stupid enough to buy it," they will pay the price for it in the future. When Dimon spoke at Fortune’s Global Forum in 2015, he said almost exactly the same thing he would reiterate years later. “You’re wasting your time [with Bitcoin],” Dimon said then. “There will be no currency that gets around government controls.”
To be clear, this is the same line Dimon has been touting for years. As Dimon most recently told Fox Business, his stance on Bitcoin has always been informed by his estimation of “what the governments are going to feel about Bitcoin if it gets really big.”
Now all of that was said while his company was at the same time buying up millions of bitcoin? Now why was he doing this? As we know bitcoin is volatile as hell and traders love this and when an influencer like Mr Diamon opens his mouth people listen, the end result was bitcoin taking a nose dive in prices and as we can see Mr Diamon knew this and was waiting to buy up the cheap coin after.
Now correct me if I’m wrong but Mr Diamon would not buy something he knows is a scam correct, however the behaviour he produced from someone who deals with trusted securities is what we could all call scam like behaviour.
There are many cases I can bring up here to point towards bitcoin as a legitimate currency but I will leave you with this, while bitcoin has a finite number of coins and will only ever have this number, people like Mr Diamon will use their influence to convince you to invest in $ backed investments, now you have to understand that the US government will print more of the $ when they see fit and devalue your investment as we can see the dollar value is currently falling due to this type of behaviour.
Bitcoin is not a scam, it is a new way forward however your dollar you’re holding right now, that could be the next big scam and maybe you should get out now.