- REUTERS/Gary Cameron
- One of the largest Wall Street firms is reportedly looking to dive deeper into the nascent market for digital currencies.
- Bloomberg News reported Monday that Goldman Sachs is exploring a crypto custody offering.
- Goldman joins a host of other Wall Street firms exploring such a product.
Wall Street giant Goldman Sachs is looking into offering custody services for investors in the nascent market for digital currencies, according to a Bloomberg News report.
The report, which cites people briefed on the bank’s plans, said Goldman is looking to create securities to hold on behalf of clients as a form on insurance against them losing money in the case of a cyber-attack on their holdings.
It’s not clear when the product would go live. Still, the plan could lead the bank into other businesses, such as prime-broker services, according to the report.
A custody offering could help legitimize the burgeoning crypto market, market structure experts say.
Elsewhere on Wall Street, Fidelity is hiring staff to build a “first-in-class” custody solution, as Business Insider first reported. Sources tell Business Insider the plan has long been in the works at the firm but has been stalled.
Bank of New York and JPMorgan are also looking into crypto custody, according to Bloomberg.
As for Goldman, it said in May that would start trading products linked to bitcoin.