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JPMorgan Seeking to Hire Bitcoin Tech Experts, Says Bitcoin Futures Are ‘Understated’

Controversial Wall Street banking giant JPMorgan Chase has been swinging its opinion on cryptocurrencies with time. With its chief Jamie Dimon criticizing cryptocurrencies heavily to the bank launching its native crypto token JPM Coin, it has come a long way.

The latest report from The Block suggests that JPMorgan is looking to hire blockchain experts with Bitcoin tech knowledge. The job posting for the Director of Blockchain wants someone who has experience working with Bitcoin’s scalability solutions like the Lightning Network.

However, a spokesperson from the company clarified that it has nothing to do with Bitcoin or any other cryptocurrencies. The spokesperson said:

“It would be completely inaccurate to say or report that we are possibly exploring or considering doing any work with bitcoin or other public crypto currencies. We are not – I hope I’m being totally clear.”

Note that JPMorgan operates its own private network for businesses, called Quorum. Hence, a person with a profound experience in blockchain developments can help the company for further enhancements of their network. A former payments equity analyst said:

“They listed all these primitive tech solutions that developers are exploring across bitcoin. You have to assume they’ll find a way to leverage that stuff with an enterprise solution.”

In another turn of events, JPMorgan states that Bitcoin futures are more ‘understated’ than its actual importance in the market, reports Bloomberg.

Based on the data from CoinMarketCap, JPMorgan strategists led by Nikolaos Panigirtzoglou found that if $725 billion trade was reported in May 2019, only 5% of it i.e. worth $36 billion would be the actual trading volume. JPMorgan notes that it compares to the estimated $12 billion combined volumes by CBOE and CME Bitcoin futures contracts.

This is a significant jump from April’s $5.5 billion and 2019’s first quarter month average of $1.8 billion. Panigirtzoglou wrote:

“The importance of the listed futures market has been significantly understated. The report by Bitwise credits the traded futures as an important development in allowing short exposures that enabled arbitrageurs in properly engaging in arbitrage, and that the futures share of spot Bitcoin volumes increased sharply in April/May.”

In its March 2019 report filed with the U.S. Securities and Exchange Commission (SEC), Bitwise noted that exchanges inflate the trading volumes by a great margin. In another statement, JPMorgan said:

“The overstatement of trading volumes by cryptocurrency exchanges, and by implication the understatement of the importance of listed futures, suggests that market structure has likely changed considerably since the previous spike in Bitcoin prices in end-2017 with a greater influence from institutional investors.”

This Sunday, June 16, Bitcoin made a new 2019 high crossing $9300 levels in the overall cryptocurrency market rally. Moreover, last Thursday, June 13, ICE’s Bakkt announced that it will start testing its Bitcoin Futures contracts from the next month on July 22, 2019.

JPMorgan Seeking to Hire Bitcoin Tech Experts, Says Bitcoin Futures Are ‘Understated’

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