Chia Network COO and president Gene Hoffman discusses if cryptocurrencies could be a sanctions loophole for Russia on ‘The Claman Countdown.’
Goldman Sachs has executed its first over-the-counter cryptocurrency transaction, marking a significant step towards possible wider adoption among major Wall Street banks.
Galaxy Digital Holdings, a global provider of blockchain and crypto financial services, said Monday it traded a bitcoin-linked instrument called a non-deliverable option (NDO) with Goldman Sachs Group Inc.
FILE PHOTO: The logo for Goldman Sachs is seen on the trading floor at the New York Stock Exchange (NYSE) in New York City, New York, U.S., November 17, 2021. (REUTERS/Andrew Kelly/File Photo)
The OTC trade, which refers to private dealing between two parties without a middleman, is significant step in the development of cryptocurrency trading. Major Wall Street firms have been hesitant to fully embrace crypto, but Goldman’s trade with Galaxy may signal maturation of the digital asset.
PAYPAL, VENMO RAISE FEES ON CRYPTOCURRENCY TRADES OF UP TO $200
Damien Vanderwilt, Co-President, and Head of Global Markets at Galaxy Digital, said the transaction is expected “to open the door for other banks considering OTC as a conduit for trading digital assets.”
One World Trade Center is reflected on the Goldman Sachs Group Inc. headquarters building in New York, U.S., on Wednesday, Oct. 12, 2016. (Photographer: Mark Kauzlarich/Bloomberg via Getty Images)
“Goldman’s continuing trust in us is a testament to Galaxy’s expertise and ability to meet the evolving demands by institutions as crypto solidifies itself as the fifth asset class,” he said in a statement.
GOLDMAN SAYS UKRAINE-RUSSIA WAR COULD TRIGGER US ECONOMIC RECESSION
Max Minton, Asia Pacific head of digital assets for Goldman Sachs, said the transaction was an important development in the bank’s digital assets capabilities and for the broader evolution of the asset class.
As crypto companies increase their advertising spending, brands have pumped out crypto-theme campaigns or marketing gimmicks to leverage the buzz surrounding cryptocurrencies. (Photo Illustration by Chesnot/Getty Images)
Andrei Kazantsev, Goldman’s global head of crypto trading, told CoinDesk late last year the firm has been seeing a high demand for options tied to digital assets.
CLICK HERE TO READ FOX BUSINESS ON THE GO
“We are seeing a lot of demand for more derivative-type hedging,” Kazantsev said at a panel. “The next big step that we are envisioning is the development of options markets.”