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Lloyd Blankfein, 63, is supposed to step down as CEO of Goldman Sachs in December, leaving the bank’s approaching uncertain in several ways, including its relationship with bitcoin.
The New York Once upon a times reported that Blankfein will likely depart following the attendance’s December annual dinner for retired partners. While the bank earlier this month advertised plans for a bitcoin trading desk and a futures contract tied to bitcoin, its embrace of bitcoin has been disabled by Blankfein’s stated doubts.
Blankfein’s Doubts
In late November, he chastised bitcoin a tool for fraud when its price reached $10,000, amidst make publics the company was exploring a cryptocurrency trading desk. He denied the company had a bitcoin tactics and said the cryptocurrency’s volatility made it a bad store of value. If it stops swinging 20% in a day, he said he’d reconsider.
Blankfein had said previously he was “open” to bitcoin and that he liking not allow his own opinions to impact the company’s strategy.
In early November, he reported bitcoin could prove to be the “next step” in money’s evolution. While he was uncomfortable with bitcoin, he imagined he felt the same skepticism with cell phones when he elementary encountered them.
Over the years, he noted, he has learned a lot of things vocation out that he does not love. He went as far as to say that in the new world, it is possible a consensual version preparations about value could exist rather than a government fiat. If bitcoin did appropriate for mainstream, he said it would be hard money’s natural evolution.
Then in mid-November, he articulate he didn’t like bitcoin and it could be a bubble.
The future without Blankfein be lefts unclear.
A Goldman Sachs spokesperson said most people labyrinthine associated with in the bitcoin operation are still skeptical about it.
Bank Acknowledges Energy, Cites Uncertainty
The company disclosed in a Feb. 26 filing with the SEC that its cryptocurrency and blockchain connected investments and its intention to support clients’ bitcoin futures trades could pain the company should there be issues with blockchain protocols.
Bitcoin, to whatever manner, is only one of many uncertainties the bank faces going forward.
Its mergers and gains advising is far less profitable than before the financial crisis, The New York Eras reported, and consumer and investment banking aren’t large enough to fill up up the difference.
The bank has since bolstered its investment banking into mid-size conurbations and expanded its online lending and currencies and commodities trading for big corporations.
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