JPMorgan Chase shares fell after reports that Senate Democrats are preparing a new investigation into the bank's ties to Jeffrey Epstein. The story has no direct link to Bitcoin, but it lands on a bank whose CEO, Jamie Dimon, has criticized BTC for years.
JPMorgan Chase shares tanked by over 4% to under $340 on Thursday after reports of a fresh Senate probe into the bank's relationship with convicted sex offender Jeffrey Epstein. The sell-off essentially erased the stock's post-midterm rally.
Senate Democrats prepare a new Epstein probe
CNBC reported that Democratic staff on the Senate Finance Committee plan to examine how senior JPM executives handled Epstein. They would do so as they take control of Congress early next year. Mary Erdoes, CEO of the bank's Asset & Wealth Management Division, is expected to be among the high-profile names in the investigations.
A bank spokesperson said the US government had damning information about Epstein's crimes that it failed to share with JPM or other banks. The spokesperson added that the bank regrets any association with him but did not help him commit his crimes.
However, the bank previously agreed to pay $365 million in settlements related to Epstein, even as it continues to deny any wrongdoing.
Why Bitcoin enters the picture
CryptoPotato says there is no real connection with Bitcoin, but it chose to cover the story because Dimon has spent years bashing the crypto industry. The outlet notes there is no official confirmation that JPM has done anything wrong.
Dimon has called BTC a fraud, worthless, a pet rock and a decentralized Ponzi scheme. He also advised investors to stay away from crypto and told lawmakers that if he ran the US government, he would shut it down.
Source: CryptoPotato
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