Goldman Sachs, one of the largest investment banking enterprises in the world, has decided to enter the crypto market before it’s too late.
Although they will not buy and sell bitcoin like other cryptocurrency exchanges, Goldman Sachs will be doing transactions related to bitcoin as a start.
According to The New York Times, “Ms. Yared(one of the Goldman executives overseeing the creation of the trading operation) said Goldman had concluded that Bitcoin is not a fraud and does not have the characteristics of a currency. But a number of clients wanted to hold it as a valuable commodity, similar to gold, given the limited quantity of Bitcoin that can ever be “mined” in a complex, virtual system.”
It resonates with us when a client says, ‘I want to hold Bitcoin or Bitcoin futures because I think it is an alternate store of value,’” she said.”
While Jamie Dimon of JPMorgan Chase called it a fraud, Goldman Sachs seems to have recognized the potential of the blockchain technology according to their introduction:
“Technology of Trust –
A new technology is redefining the way we transact. If that sounds incredibly far-reaching, that’s because it is. Blockchain has the potential to change the way we buy and sell, interact with government and verify the authenticity of everything from property titles to organic vegetables. It combines the openness of the internet with the security of cryptography to give everyone a faster, safer way to verify key information and establish trust.”
In a competitive market where even the Soros and Rockefellers have embraced bitcoin, it’s no wonder that other financial giants are deciding to have a foothold before it’s too late. But the average investor is still treading with caution as they cannot afford to lose money in an unexpected market breakdown.