Goldman Sachs Is Exploring Custody Services for Crypto MarketsAug 7, 2018, 11:57AM
One of the world's largest investment banks, Goldman Sachs, may be offering crypto custody services, according to insiders at the firm.
Insiders have revealed that Wall Street giant Goldman Sachs is interested in offering custody for crypto funds. As reported in a recent article published by Bloomberg on August 6, Goldman Sachs is exploring the idea in “response to client interest”, but has not yet “reached a conclusion on the scope of the company’s [future] digital asset offerings.”
The custody services provided by Goldman Sachs would allow funds an unprecedented level of protection from the hacks and thefts that frequently attack the crypto-custodians of today. While Goldman’s spokespersons did not reveal a solid timeline for the potential custodian services in their interview with Bloomberg, the company has recently appointed David Solomon as the new CEO who reportedly has strong pro-crypto sentiments, which lends credibility to the new report and indicates Goldman is seriously looking seriously at crypto-markets.
Bloomberg reports that insiders foresee a custody operation leading Goldman Sachs toward other crypto-focused ventures, including prime brokerage services. With Goldman Sachs being one of the largest investment banks in the world, and a well-established market maker, the firm’s furthered involvement in crypto markets holds the potential to bring the legitimacy needed to foster institutional level investment.
In similar news this week, Intercontinental Exchange, the owner of the New York Stock Exchange, introduced Bakkt, which will serve as a federally-regulated market for Bitcoin. The startup is scheduled for release in November and looks to bring institutional investors into the Bitcoin market.
Disclaimer: information contained herein is provided without considering your personal circumstances, therefore should not be construed as financial advice, investment recommendation or an offer of, or solicitation for, any transactions in cryptocurrencies.