Goldman Sachs has come forward with its intentions to invest in the blockchain space
Goldman Sachs is willing to invest millions of dollars in blockchain and crypto companies whose values have corrected significantly after the FTX collapse
Of blockchain innovation. The cost of the recent FTX fallout has not only weakened its retail users but also the new solutions that were about to enter the markets.
The extreme levels of fear, doubt, and uncertainties in the present market are drawing up all the liquidity available, leaving almost nothing for the new ventures to survive.
Amidst this, Goldman Sachs, an investment banking giant in the USA, has come forward with its intentions to invest in the blockchain space.
This news has come at a time when blockchain companies are struggling to raise anything to continue operating. A flourishing ecosystem requires enough trade in the market with adequate liquidity, however, the present market conditions are forcing investors to mass withdrawals and park their money in safer investment options.
Goldman Sachs is willing to invest millions of dollars in blockchain and crypto companies whose values have corrected significantly after the FTX collapse.
"We do see some really interesting opportunities, priced much more sensibly," said Mathew McDermott, Goldman Sachs’s Head of Digital Assets. Mathew added that the collapse of FTX has “set the market back in terms of sentiment” and the crypto space requires a more trustworthy and regulated player in the industry to ensure the customers.
The company booked a profit of over $21 billion in the last financial year and is willing to invest a few hundred million in the blockchain businesses. This might seem to be a minor investment but the willingness of a financial giant to invest in digital assets when the market is going through its worst phase signifies the potential of cryptocurrencies in the times to come.
The CEO of Goldman Sachs has recently said to CNBC that the crypto investments in the present market conditions are highly speculative but the future of the underlying technology is undoubtedly bright. This ideology reflects in its portfolio as the firm has already invested sizeably in crypto compliance, cryptocurrency data, and blockchain management companies.
If Goldman Sachs invests in cryptocurrencies in present conditions, it would not only incite a positive mood in the market but will also encourage other traditional investors to look towards blockchain as an ambitious investment opportunity.
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