JPMorgan sees fintech-bank clash as real post-COVID story, not Bitcoin

JPMorgan strategists, led by Chair of Global Research Joyce Chang, call the recent surge in Bitcoin "an economic side show," contending that the real post-COVID-19 story is "the rise in digital finance."Competition between banks and fintech gathers steam with Big Tech "the most potent digital platforms due to their access to customer data," according to the strategists' report dated Feb. 18.Still, traditional banks could prevail in digital banking due to their advantages in deposit franchise, risk management, and regulation."'Co-opetition' between 'Fin' and 'Tech' players lies ahead, with banks stepping up investment to narrow the technology gap, and the battle between U.S. banks and non-bank fintech is also playing out on the regulatory front."And while they call Bitcoin's rise a side show, the crypto asset is "here to stay" as an alternative currency, they said. They estimate that Bitcoin prices would have to climb to $146K for the market cap to