Goldman Sachs Is Believed To Have Set Up Digital Currency Trading Desk

Japanese Financial Giants, SBI Group to launch Cryptocurrency Exchange

Do not refer to the long-awaited bitcoin trading business of Goldman Sachs as a full-fledged desk, and don’t expect the business to immediately start buying and selling Bitcoin. The financial institution, which is preparing to pioneer a new digital currency trading platform on Wall Street, plans to begin small and provide only a limited number of derivatives – according to someone close to the decisions.

The Trading Scope of the Firm

The company will trade futures for Bitcoin in a market-making, principal capacity, it will also create forward products that are non-deliverable. Wall Street organizations started offering customers futures from CME Group and Cboe Global Markets in December last year.

The Issue with Buying and Selling Bitcoin

One common problem with selling and buying actual Bitcoin is that they are vulnerable to attackers. This means they can be hacked and stolen by hackers. This has led to the closure of some major crypto trading platforms in the world.

SEE ALSO:   How Alibaba is championing the application of blockchain technology in China and beyond –Cryptocurrency Today

This means any bank that wants to facilitate the buying and selling of Bitcoin will have to look for better ways to secure the asset, a procedure that could require a nod from regulators. Goldman Sachs has already employed Justin Schmidt, and they have made him the head of digital asset markets to help customers get exposed to digital currencies.

At first, Justin Schmidt will be sitting at the currency desk of the firm – according to a reliable source. The decision of the bank to offer forward products that are non-deliverable was reported by The New York Times. The report stated that the business will begin in a couple of months from now. That means the project of Goldman Sachs is on track.

SEE ALSO:   Bitcoin volatility is here to stay (Bitcoin Price Prediction 2018) - BTC Predictions -Price Prediction Today

When Will the Business Start?

Sources close to the bank said in December 2017 that the bank planned to have its new business up and running in June 2018.

loading...

Legal Disclaimer: The content of this website (smartereum.com) is intended to convey general information only. This website does not provide legal, investment, tax, etc advice. You should not treat any information on smartereum.com as a call to make any particular decision regarding cryptocurrency usage, legal matters, investments, taxes, cryptocurrency mining, exchange usage, wallet usage, initial coin offerings (ICO), etc. We strongly suggest seeking advice from your own financial, investment, tax, or legal adviser. Neither smartereum.com nor its parent companies accept responsibility for any loss, damage, or inconvenience caused as a result of reliance on information published on, or linked to, from smartereum.com.

SEE ALSO:   Ripple Price Analysis: Will The Current XRP Rally Be Sustained? 

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Get Smart About Crypto!


Promise we won’t spam you!

We Are Hiring

Click here if you would like to join one of the fastest growing blockchain news companies in the world!