JP Morgan CEO Jamie Dimon got support from an unlikely source today – Jordan Belfort, better known as the “Wolf of Wall Street.”

Speaking with TheStreet, Belfort said that he believes Dimon is right about his assertion that bitcoin is fraud, telling the news outlet: “I don’t think it’s a great model.”

That said, Belfort – who plead guilty to stock fraud and money laundering in 1999 and went on to write a book called “The Wolf of Wall Street” (later made into a film) – doesn’t think cryptocurrencies won’t exist in some form or another necessarily.

“I’m not saying cryptocurrencies, there won’t be one – there will be one – but there has to be some backing by some central governments out there,” he told the publication.

He added:

“Sooner or later, a central bank or a consortium is going to issue their own cryptocurrency and that’s what will take hold.”

His criticisms later shifted to the cybersecurity risks around holding bitcoin, as well as the fact that the code underlying the cryptocurrency, rather than any central authority or institution, controls the issuance of new coins in the system.

“I’m not saying you should or shouldn’t buy bitcoin, but [what] I’m saying is I personally, myself, would be very, very careful about investing a lot of money in something that could vanish very quickly,” he concluded.

Jordan Belfort image via Shutterstock

Disclaimer Read More

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

This article is intended as a news item to inform our readers of various events and developments that affect, or that might in the future affect, the value of the cryptocurrency described above. The information contained herein is not intended to provide, and it does not provide, sufficient information to form the basis for an investment decision, and you should not rely on this information for that purpose. The information presented herein is accurate only as of its date, and it was not prepared by a research analyst or other investment professional. You should seek additional information regarding the merits and risks of investing in any cryptocurrency before deciding to purchase or sell any such instruments.