Goldman Sachs bank on Wednesday announced to launch Bitcoin trading desk. The rumors were around the corner for few months that the bank is planning to start a crypto trading desk. However, the bank executives denied such speculations. Goldman Sachs is one of the largest banks in US. It is also estimated that other financial institutions might follow the footsteps of the financial giant. As we have already covered the banks in India and Pakistan are banning crypto transactions, the move is significant.
Please read this: State Bank of Pakistan bans cryptocurrency transactions
How Goldman Sachs Bank will Facilitate Crypto Trading?
Initially, the bank aims to adopt a cautious approach by using its own currency for crypto trading on behalf of the clients. So, they have no plans to start a full-fledged crypto exchange at the start of their venture. The bank also plans to offer the clients its own version of future called non-deliverable forward.
By trading futures, you can bypass price volatility which gives more sense of security to the traders.
Goldman’s executive Rana Yared said “I would not describe myself as a true believer who wakes up thinking Bitcoin will take over the world. For almost every person involved, there has been personal skepticism brought to the table”
Why its must for Every Financial Institution to Adopt Crypto Trading
There are hundreds of reasons to convince anyone about the inevitability of Crypto currencies. For example, Tim Draper, the leading capitalist has said that blockchain is bigger than the internet. After the introduction of Internet, we have heard similar kind of skeptical opinions. Moving forward few years from the start of its inception, we can’t assume a business without an online presence.
It is not a Surprised News
Analyst Mathew Newton said while talking to express.co.uk that this news should not come as a surprise to the people who are connected with crypto news and trading. He further added “Any forward-looking financial institution needs to understand this technology and accept its enormous potential”. Adding on to his debate, he explained that there are numerous banks that have started investing in crypto. We can also see that banks are baking up their systems with blockchain technology. There are also few banks which have started introducing their own digital currencies.
Please also read: Is it a good time to invest ? crypto market reaches $400 billion
The Irony of the Fact
While there are governments, regulatory bodies and financial institutions are banning crypto trading and transactions, there are more who is adopting blockchain technology. Almost every business model is adopting this revolutionary technology which signifies the future of crypto.
Goldman Sachs Bank’s Decision Nullifies the False Assumption About Digital Currencies
In the past few months, we have heard a lot of negative news about virtual currencies. Even the financial institutions were calling crypto as a ponzy schemes and bubble. The debate carried on to the news-websites and the relevant social media platforms. its hard to come to a negative conclusion when banks and other reputed organisations are adopting it. However, Goldman’s decision supports the believe that digital currencies have their future and they are not bubbles and ponzy schemes. The good era might start with this decision. We can also hope that other banks also start facilitating digital currencies as well.