Category: Bitcoin

Feb 26

Goldman Sachs Exploring Crypto Derivatives Said COO

In an interview, the Chief Operating Officer of Goldman Sachs said that Goldman Sachs is an investment banking group which is exploring cryptocurrency trading derivatives.

COO David Solomon said that the company is already assisting clients in publicly-traded derivatives. The company is considering some other activities also very carefully.

The company’s objective is “evolution and adaptation”.

The aim of the company is to evolve its business and adapt to the environment according to the cryptocurrencies.

Goldman Sachs

Solomon claimed that “We are clearing some futures around Bitcoin, talking about doing some other activities there, but it’s going very cautiously.

We’re listening to our clients and trying to help our clients as they’re exploring those things too.”

As digital assets grew more and more popular, Goldman Sachs’ attitude changed towards cryptocurrencies.

In 2014, Goldman Sachs was not ready to accept Bitcoin as a cryptocurrency, but, three years later, the scenario got completely changed, for institutional investors it became more difficult to avoid Bitcoin and other cryptocurrencies.

In fact, in December of last year, there was a rumour that the company itself is opening its own crypto trading desk.

In early 2018, the investment group denied the rumours of a trading desk and the company’s position also got softened towards cryptocurrency.

In May, the company said that crypto is “not fraud” and disclosed their further plans of crypto trading.

According to Fundstrat head of research Thomas Lee, the recent decline in Bitcoin was caused due to futures expirations.

On June 9, the U.S. Commodity Futures Trading Commission (CFTC) requested trading data from crypto exchanges Bitstamp, Coinbase, itBit and Kraken as a part of an investigation into whether the platforms were engaged in activities that could constitute price manipulation when formulating the price of Bitcoin futures.

Company’s Customers and Bitcoin Trading:

Goldman Sachs has always acquired the first position in the world of cryptocurrencies.

But, there is no rush in the firm for trading new products in the market.

The firm announced its crypto trading desk in May. At the time, the bank said that the desk would offer Bitcoin non-deliverable forward contracts. To start, it is a type of derivative.

bitcoin trading

The crypto site, Abacus Journal reported Goldman Sachs as “actively exploring the creation of a non-deliverable forward for ether”.

When it comes to certainty, it is not even clear whether Goldman could even build a product at the current time since futures for ether do not trade in any regulated exchange in US CBOE global markets.

For Goldman Sachs, as per the source, the clients are not really looking for new products.

But, it doesn’t mean that they are not interested in marketing.

They just want a guide, so, they call senior bankers and traders to know about necessary details regarding ripple futures and to learn how to make a move to enter into the market.

“I don’t believe any client has sought out crypto exposure,” Fink said in July. “I’ve not heard from one client who says, ‘I need to be in this.'”

Final words:

So, it was all about how the company “Goldman Sachs” is exploring cryptocurrencies.

Here, we discussed all the necessary details regarding the company’s trade.

We tried our best to give you all the necessary details about the company’s trade and views about cryptocurrencies. If you still have any doubts or queries, just feel free to contact and ask us.

If you have any other details which you think can be a part of the content, must share with us. It will be great to have a two-way conversation.

Hope the content must have helped you.…

Jan 06

Estonia Grants Exchange and Wallet License to Coin Metro

Estonia Grants Exchange and Wallet License to Coin Metro

Estonia is now all set to compete with Malta in becoming the preferred destination for all crypto businesses. In a recent move, the country granted license to Coin Metro to operate crypto exchange and wallet services. The company recently announced that they have received licenses from the Estonian government to operate two services here legally. The first license is for an e-wallet for fiat currency and the second license is for a fiat to crypto exchange platform.

Coin Metro was established by the team behind FX Pig, a forex broker based in Vanuatu. This is the first time that the company has obtained a license for their activities. Now, they will have to follow robust KYC (Know your Customer) and AML (Anti-money Laundering) laws along with counter-terrorism financing acts. However, with these guidelines and a secure legal framework in place, they can now open their gates for a wider user base from around the world.

Note that Coin Metro has ambitions to run a fully regulated crypto trading platform in the EU and has just completed its 12-million-euro token sale as well. It is now looking forward to securing a license for e-money from the UK Financial Conduct Authority (FCA).

Kevin Murcko, company CEO, is hopeful that the lack of geographical boundaries and a transparent platform will get more acceptance around the globe. He said, “We’ve set no geographical limits and are determined in our aim to bring transparent, simplified access to the cryptocurrency market everywhere, where laws allow. With regulation on our side, Coin Metro offers a safe haven from the forthcoming legislative storm that has the potential to close many exchanges which aren’t compliant.”

The firm also noted that their first choice was always Estonia because of its open regulation and a welcoming attitude for crypto companies. The country was reportedly creating a state-backed national cryptocurrency as well. However, it has now scaled down the plans after European Central Bank Chair Mario Draghi expressed his displeasure with the project. He commented that the euro zone has only currency and that is the euro. Their digital coin, called ‘estcoin’ will now be used exclusively in a government project used for e-residents.

The CEO went on to praise the government and said, “We decided to target Estonia (and build our HQ there) as it has been a hotbed for tech startups for years and has generally been very progressive on technology and innovation. In recent years, it has been actively adopting blockchain technologies, looking to be at the forefront of this new shift in distributed technologies. The fact that Estonia is the first country in the world to place its health records on the blockchain is a staunch example of just that.”

The 5th Money Laundering directive of the EU was passed by the EU parliament in March this year ad the bloc has 18 months to draft their framework around the new KYC and AML procedures. With the company getting a license to operate legally in Estonia, it is highly likely that they will be able to avoid the wrath of the new act.…