Goldman Sachs Considers Crypto as Own Risk

Investment banking giant has cited its connection to cryptocurrencies and blockchain as a potential business risk
27 February 2018   347

Investment bank Goldman Sachs assumes that its involvement in the sphere of crypto-currency may cause certain risks. This is written by CoinDesk.

According to the report for 2017 fiscal year, published on February 26, Goldman Sachs believes that his business can be influenced by the fact that he works with clients and invests money in companies related to the crypto-currency sector. Among other things, the bank provides access to bitcoin futures for a certain group of its customers and has a stake in the Circle start-up, which on Monday became the owner of the Poloniex crypto currency exchange.

We may be, or may become, exposed to risks related to distributed ledger technology through our facilitation of clients' activities involving financial products linked to distributed ledger technology, such as blockchain or cryptocurrencies, our investments in companies that seek to develop platforms based on distributed ledger technology, and the use of distributed ledger technology by third-party vendors, clients, counterparties, clearing houses and other financial intermediaries.
 

Goldman Sachs Report

Although Goldman Sachs does not speak directly about this, these fears may also explain the fact that to this day the bank is not in a hurry to provide its clients with access to a wider range of tools for working with cryptocurrencies.

Circle to See Crypto Demand from Investors

As the company's CEO Jeremy Allair said, Circle also recorded a x15 increase in the number of transactions compared to the same period last year
26 June 2018   283

In May, the crypto-currency blockchain start-up Circle attracted 30% more institutional investors than in April. The company's performance has increased despite the fact that the rate of bitcoin for the same period fell by about 20%. This is reported by CNBC.

As the company's CEO Jeremy Allair said, Circle also recorded a x15 increase in the number of transactions compared to the same period last year.

According to him, starting from this week all trading operations on the platform will be automated.

Major institutional investors don't go through a telephone broker. They go through an electronic interface. We're maturing this into a more traditional product; it's much faster and a more flexible way to trade.
 

Jeremy Claire 

Founder and CEO, Circle

We note that the monthly trading on the platform exceeds $ 2 billion, while the minimum amount of the deal is at least $ 250,000.