Goldman Sachs Plans Expansion into Crypto Trading and Tokenization
Goldman Sachs aims to enhance its involvement in the crypto ecosystem, focusing on tokenization and lending. Matthew McDermott, head of Digital Assets, announced this during the TOKEN2049 event in Dubai.
- The bank plans to expand crypto trading operations.
- Exploration of opportunities in crypto lending and tokenization is underway.
- Client demand for digital assets driving these initiatives, pending regulatory approvals from the SEC.
- Goldman Sachs is shifting from secondary market transactions to include tokenization and collateral liquidity.
- In 2021, the firm launched a crypto trading desk offering cash-settled Bitcoin and Ether options and futures contracts.
Banks and Adoption of Cryptocurrency
- Morgan Stanley will incorporate crypto trading on E*trade by 2026, partnering with existing crypto firms.
- The U.S. regulatory environment has shifted, with investigations into Coinbase and PayPal reportedly dropped.
- Eric Trump advocates for cryptocurrency adoption, suggesting that failure to do so may lead to obsolescence.
- He predicts cryptocurrencies could replace traditional fiat currencies based on moves from major financial institutions.