Goldman Sachs has denied the rumors about the refusal of working with cryptocurrencies

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Goldman Sachs has denied the rumors about the refusal of working with cryptocurrencies

Chief financial officer Goldman Sachs Martin Chavez said that recent reports that the company abandon its plans to open a structure specialised in the sale of digital currencies are “fake news” reports CNBC 6 September.

“I never thought I’d use this term, but I really have to describe everything that is happening now as fake news,” said Chavez during a conference TechCrunch Disrupt in San Francisco.

The information that Goldman Sachs is planning to create a crypto-oriented unit by the end of 2018 originally appeared in Bloomberg in December last year. However, on 5 September, Business Insider reported that unnamed sources say the cancellation of plans to work with cryptocurrencies because of the regulatory uncertainty in this area.

According to Chavez, all the excitement about it are premature.

“When we reported the study of digital assets, we assumed that this study will take a while to do any conclusions still early enough now”.

Although Goldman is engaged in clearing and providing liquidity for futures contracts on bitcoin from the CBOE and CME, Chavez said that the need to develop a reliable solution for storing, before the Bank can begin work with a physical bitcoin.

“Physical bitcoin is something extremely interesting and incredibly complex. From the point of view of providing custodial services, we do not see institutional solutions to bitcoin, but we are interested in how to find it, but it’s a long way,” said Chavez.

Recall that the price of bitcoin and other digital currencies fell sharply after news that Goldman Sachs give up its plans, but the total market capitalization decreased by $12 billion over one hour. Today, at the time of writing, the market capitalization of cryptocurrencies is about $208 billion, according to Coinmarketcap.

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