Goldman Sachs CEO believes Bitcoin regulations are set for a ‘big evolution’

CoinTelegraph

David Solomon, CEO of Goldman Sachs has forecast a “big evolution” in how the U.S. government regulates Bitcoin and other cryptocurrencies, in relation to financial institutions.

In an interview with CNBC today, Solomon was quizzed on the banking giant’s moves to adopt Bitcoin. The CEO kept his cards close to his chest but conveyed that the bank is keeping a close eye on digital currencies, amid increasing demand for crypto exposure from its clients:

How To Get Free Crypto  

“We continue to think about digital currency and the digitization of money in a very proactive way, and in that context, we are engaged with our clients and we look at all this through the centricity of ‘what do our clients need?’.”

The current U.S. restrictions surrounding financial institutions forbids them from offering direct exposure to volatile and risky asset classes such as Bitcoin. Due to these regulations, which deem crypto as a high-risk asset-class, financial institutions can only offer exposure to crypto in the form of custody positions in digital assets such as securities or ETFs.

However, Solomon noted the crypto space is evolving, and foresees this situation changing over time, but didn’t want to speculate on what that actually entails:

“I think there will be a big evolution. As to how this evolves in the coming years, we operate in the rules we have, I’m not gonna speculate on where the rules will go for regulated financial institutions but we’re gonna continue to find ways to serve our clients as we move forward.”

The bank announced last weekth that Goldman’s private wealth management division is close to offering Bitcoin exposure to larger clients with portfolios of $25 million or more. A “full-spectrum” of investment options in Bitcoin and other cryptocurrencies is set to roll in Q2 of this year.

Former SEC chairman Jay Clayton also noted recently that regulatory environment surrounding crypto is due for a shakeup, using similar terminology to Solomon:

Coinbase Banner  

“Where digital assets land at the end of the day […] will be driven in part by regulation—both domestic and international—and I’m speaking as a citizen now, that regulation will come in this area both directly and indirectly whether it’s through how these are held at banks, security accounts, taxation, and the like. We will see this regulatory environment evolve.”

The 2021 Bitcoin bull market saw Goldman Sachs reopen its cryptocurrency trading desk in March, after the firm originally set it up during the 2017 bullrun when Bitcoin hit $20,000 and then subsequently crashed. The bank also filed for an ETF that includes some Bitcoin exposure on March 26.

Go to Source
Author: Brian Quarmby


Recommended Crypto Services, Products and Strategies:

The first thing any crypto investor needs is is a reliable and secure Crypto Wallet.  Whether you’re looking for an online wallet, hardware wallet, desktop or mobile wallet, Crypto Renegade provides you with all the Best Crypto Wallets in each category.

Best Crypto Wallets Banner

When you’re ready to buy more crypto, or exchange your coins for others, Crypto Renegade’s list of the Best Crypto Exchanges has you covered.  The Crypto Exchanges recommended here offer everything from simplicity and convenience to advanced trading platforms and profit sharing. 

Best Crypto Exchanges Banner

If you want to learn more about the methods and tools that can be used to find Great Crypto Projects, then be sure to check out Crypto Renegade’s strategy for How To Find The Best Cryptocurrency.

Crypto Strategy Banner

For those people that don’t have any money to invest right now, or just want to understand the technology a bit more, you’ll definitely want to check out Crypto Renegade’s Free Crypto Strategy and start collecting Free Coins today!

Free Crypto Banner

What do you think about cryptocurrency? Do you have any questions about it? Be sure to leave a comment below.

This site uses Akismet to reduce spam. Learn how your comment data is processed.