The investment bank Goldman Sachs has confirmed that it will launch a Bitcoin Trading Desk to meet its clients’ demand for crypto currencies.
We have already reported that there are rumours regarding Morgan Stanley planning a Bitcoin Trading Desk. Apparently, Wall Street companies are competing to determine who will be the first to release their product to the market. Goldman Sachs CEO Lloyd Blankfein confirmed that the investment bank will begin clearing futures in Bitcoin for “some futures clients” this year.
Goldman Sachs squints at Crypto Bitcoin profit
The launch of the Bitcoin Trading Desk is a significant Bitcoin profit change in the Bitcoin profit of Goldman Sachs CEO, who stated in an interview with Bloomberg last year that the digital currency is a “vehicle for fraud”.
Rana Yared, a Goldman Sachs executive in charge of overseeing the creation of the new Bitcoin trading desk, said in an interview with The New York Times that the organization has adopted a cautious stance on the crypto currency:
“I WOULDN’T CALL MYSELF A TRUE BELIEVER WHO WAKES UP AND THINKS BITCOIN WILL CONQUER THE WORLD. ALMOST EVERYONE INVOLVED WAS PERSONALLY SKEPTICAL.”
Fortune reports that Goldman Sachs will offer a limited number of derivatives that will trade Bitcoin futures. Yared confirmed to the New York Times that “Bitcoin is not a scam and does not have the characteristics of a currency”, explaining that the creation of the Bitcoin Trading Deks largely responds to customer demand:
“IT COMES TO US WHEN A CLIENT SAYS, “I WANT TO HOLD BITCOIN OR BITCOIN FUTURES BECAUSE I THINK IT’S AN ALTERNATIVE WAY TO STORE VALUE.”
In addition to requests from hedge funds to invest in the new volatile asset class, Yared stated that the bank had received interest from foundations that had received donations in crypto currency and were not sure how to deal with it.
Goldman Sachs Direct Bitcoin Trading in Ethereum code
Goldman Sachs has already started clearing trades for customers who buy and sell futures in this Ethereum code review via the Chicago Mercantile Exchange (CME) and the Chicago Board Options Exchange (CBOE), but with the introduction of the new trading desk, the bank will use its own capital for futures contracts. The Bitcoin Trading Desk is led by Justin Schmidt, who recently joined Goldman Sachs in the newly created digital asset trading position.