With the price of Bitcoin and other cryptocurrencies booming, everyone is looking to make some money off the craze. One of the biggest players that is looking to get into the cryptocurrency craze is Goldman Sachs Group Inc. Word is that the company is looking to set up a trading desk for digital currency like Bitcoin according to sources that claim to be familiar with the plans.
Goldman Sachs plans to have the new cryptocurrency desk up and running by June of 2018 according to the sources. If Goldman Sachs is set to enter into markets for cryptocurrency, you can bet other Wall Street firms are looking to do the same.
Cryptocurrencies have been very volatile at times losing a huge portion of its value in hours or days (Bitcoin lost 25 percent of its value this week alone). Goldman Sachs is already one of the few big banks on Wall Street that is clearing Bitcoin futures, other banks doing the same include Cboe Global Markets Inc., CME Group Inc., Citigroup Inc., and Bank of America Corp.
"In response to client interest in digital currencies, we are exploring how best to serve them," Michael DuVally, a spokesman, said in a statement. It's interesting that Goldman Sachs is looking to step into cryptocurrency in such a big way. When the bank started clearing futures on digital currencies reports indicated that it made clients set aside funds equal to the full value of the trade.
Steam stopped taking payments in bitcoin recently because the cryptocurrency is so volatile the value was often changing before a transaction could be completed, leaving buyers owing more money and transactions fees on a purchase than expected.