Goldman Sachs May Offer Crypto Custody Service Despite Recent Criticism
Last week, Goldman Sachs made headlines after the bank’s investment strategy group released its mid-year economic outlook report stating that they do not see Bitcoin (BTC) ever recovering from the year’s 49% drop, despite partially opening a Bitcoin futures trading desk to institutional investors earlier this year.
On Monday, a report by Bloomberg that cites insiders familiar with the matter indicates that Goldman Sachs is currently exploring a plan to offer custody services to cryptocurrency funds and institutional clients. This essentially means that Goldman Sachs would securely store clients’ digital assets, which is a highly requested element from investors looking to enter the relatively insecure market.
This service would be similar to that of Coinbase Custody, which announced last Friday that it would begin exploring the addition of more than 40 existing and upcoming cryptocurrency assets to its platform for storage only. This is completely separate from any addition to Coinbase’s various trading products.
While the interest is definitely there, the spokesman for Goldman Sachs told Bloomberg that the decision is not yet final.
In response to client interest in various digital products we are exploring how best to serve them in this space. At this point we have not reached a conclusion on the scope of our digital asset offering.
There is no indication as to how many clients are requesting the custody service, nor is there a timeline for its possible roll-out.
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.