Goldman Sachs Group is interested in exploring the possibilities of launching a crypto asset like bitcoin, according to the bank’s chief executive officer David Solomon.
The prominent investment banker told France’s Les Echos newspaper that Goldman is conducting thorough research on tokenization, the method of digitizing currencies or assets to enable their smooth transfer over a permissioned ledger same as bitcoin. Solomon said he found the process “interesting,” adding that the global payment and remittance market would eventually integrate it.
“Tokenization is the direction in which the payment system will go,” he said.
Brewing Competition in the Crypto Space
Goldman’s potential foray into the digital currency industry comes four months after a rival banking giant announced a similar plan. JP Morgan Chase & Co. in February said it developed a private stablecoin dubbed as JPM Coin to facilitate cross-border payments. The US bank confirmed this week that it would begin testing the stablecoin with its clients at home and abroad “around the end of this year.”
The concept of tokenization, meanwhile, is already expanding out of the banking industry. In June, Facebook, too, unveiled its ambitious cross-border remittance and payment project called Calibra after taking cues from Bitcoin. The social media behemoth further introduced a stablecoin named Libra, which, according to its technical paper, would be pegged to a pool of “low-volatility assets, including bank deposits and government securities” in multiple currencies.
The post Goldman Sachs to Create a Bitcoin-like Crypto Asset, Can it Compete With Libra? appeared first on NewsBTC.
by Davit Babayan on June 28, 2019 at 05:48PM
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