Big news today as it looks like Goldman is poised to enter the Bitcoin market. We’ve seen speculation of this in the past, but there hasn’t been conclusive proof until now. In our previous post, we covered the comments by Goldman saying that crypto may go to zero. So why does it seem like they are reversing their stance now?
Well, Goldman is a huge bank and not everyone there has the same ideology. Also, there appears to be demand from its clients to hold Bitcoin and many of them aren’t the most tech savvy.
Here’s why this may be a big deal:
- Wall Street has been opposed to Bitcoin up to this point and Goldman is perhaps the leading name on Wall Street. When they enter the space, it could open up doors for institutional money to flow in.
- Banks and financial institutions are heavily regulated, so they could put pressure on the government to clarify laws surrounding crypto trading when they participate.
- Goldman’s clients value security of their holdings. In fact, the NY Times article states that Goldman does not believe current options for holding Bitcoin are up to par with Wall Street standards, so if they ever transition from trading Bitcoin futures to holding actual Bitcoin, it could spur innovation for crypto security.
This news, combined with the recent bullish sentiment and upcoming Consensus 2018 blockchain summit could mean a breakout for crypto in the next month.