Many representatives of the traditional finance industry are continuing to criticize bitcoin. In recent days, CNBC has spoken with among others David Gledhill of DBS, Interactive Brokers’ Thomas Peterffy, and Morgan Stanley’s James Gorman – all of whom has made discouraging statements regarding bitcoin.
Representatives of Major Financial Corporations Are Continuing to Criticize Bitcoin
David Gledhill, the group chief information officer at DBS, has called bitcoin a “Ponzi scheme.” Also known as The Development Bank of Singapore Limited, DBS is multinational banking institutions headquartered in Singapore that services numerous countries in the Asian region. Mr. Gledhill criticized the fees associated with bitcoin transactions, describing such as “incredibly expensive.”
Mr. Gledhill told media “we don’t think DBS being in [bitcoin] right now is going to create a competitive advantage for us.” Rather, the DBS representative stated that “right now, it’s watch and learn.”
The Chairman and Chief Executive Officer of Morgan Stanley, James Gorman, has described bitcoin as “punching above its weight.” Mr. Gorman expressed his opinion that bitcoin “doesn’t quite deserve the attention it is getting,” however conceded that “as acceptance is growing with bitcoin, and usability is growing, clearly it’s not going away.”
“Is [Bitcoin] a Needed New Form of Stored Value? I’m Not So Sure.” – James Gorman, CEO of Morgan Stanley
Mr. Gorman criticized the highly speculative nature of bitcoin, stating “something that goes up 700 percent in a year – it’s by definition speculative. So anybody who thinks they’re buying something that it’s a stable investment is deluding themselves. It might go up another 700 percent, but it could easily not.” […]