Crypto may have just grown up a little.
The preeminent global investment bank Goldman Sachs has reconsidered its old stance on Crypto, and now considers it an investible asset, sources say.
Goldman Sachs is now eyeing crypto currency investment under its digital assets department.
Obviously, this means a lot for the future of crypto as a whole, yet the global investment giant still says that crypto in general is in its very early phases.
Institutional investors have played a role in the crypto markets for some time now, but to see a firm as prestigious as Goldman come out in support of the industry and asset class is no doubt a great sign for the future of digital assets.
Here is more on the story:
— AssetDash.com (@assetdash) May 22, 2021
Crypto – Ether > Bitcoin?
From Mikhail Sprogis and Jeff Currie (Goldman Sachs) pic.twitter.com/uwq9bhZZYH
— Dan Kawa (@DanKawa2) May 24, 2021
Yahoo Finance had more on the groundbreaking endorsement of Goldman Sachs:
It’s time to take bitcoin way more seriously as an investable asset, says Goldman Sachs.
“Bitcoin is now considered an investable asset. It has its own idiosyncratic risk, partly because it’s still relatively new and going through an adoption phase,” said Mathew McDermott, Goldman Sachs’ global head of digital assets, in a new piece of research. “And it doesn’t behave as one would intuitively expect relative to other assets given the analogy to digital gold; to date, it’s tended to be more aligned with risk-on assets. But clients and beyond are largely treating it as a new asset class, which is notable—it’s not often that we get to witness the emergence of a new asset class.”
Despite Goldman’s rubber stamp of approval on bitcoin (BTC-USD) and other cryptocurrencies have traded anything like a typical stock of a credible company or bond in May.
Goldman Sachs: “A blockchain platform like Ethereum could potentially become a large market for vendors of trusted information, like Amazon is for consumer goods today.”https://t.co/bc17wIN6zg
— BitcoinIndia Club🇮🇳 (@bitcoinclubin) May 23, 2021
two-word reason why Goldman Sachs got into crypto pic.twitter.com/ATYDRpIM7J
— Sam Ro 📈 (@SamRo) May 23, 2021
Crypto Potato wrote:
In this regard, for example, the bank explains that Bitcoin serves as a large-cap currency, XRP as a real-time settlement system, Ethereum as a smart contract platform, BNB as a utility token/application, and Polkadot as a blockchain with interoperability capabilities. In addition, providing each project with a unique feature allows for some segmentation of their target audience based.
Goldman Sachs said that Bitcoin’s value lies fundamentally in its use and acceptance. Michael Novogratz claimed that the massive influx of institutional capital is proof of the attractiveness of cryptocurrencies and the maturity of the markets.
Novogratz defends Bitcoin’s nature as a good store of value because of the simple social consensus around the coin.
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