According to Reuters, Goldman Sachs is planning to invest tens of millions of dollars in the crypto business. It is now on the hunt for bargaining crypto firms after the FTX fiasco.
"We do see some really interesting opportunities, priced much more sensibly," Mathew McDermott, Goldman's head of digital assets, noted. "Customers have lost trust in some of the younger businesses in the sector that purely do crypto, and are looking for more trusted counterparties." Thus, the bank is looking for transparent and regulated companies in the crypto market. Besides, it has ample opportunities to invest in the crypto business, McDermott noted.
The demise of the crypto exchange dampened investor interest. "It's definitely set the market back in terms of sentiment, there's absolutely no doubt of that. But to reiterate, the underlying technology continues to perform." Apparently, the bank sees an opportunity to pick up business.
The crypto industry is currently experiencing a downturn. According to CoinMarketCap, in late 2021, the capitalization of the crypto market soared to $2.9 trillion. However, shortly after, it plunged to $2 trillion. In December 2022, the crypto market cap approached $865 billion.
