Following reports this week that Goldman Sachs was abandoning plans to launch a cryptocurrency trading desk, the company’s CFO, Martin Chavez, has come out and lambasted the reports as fake news.
You can’t believe everything you read in the mainstream media — especially, it would seem, if that news comes from Business Insider. The American financial and business news website reported this week that financial giant Goldman Sachs was dumping its plans for a cryptocurrency trading desk.
As it turns out, that report was unfounded.
Chavez stated on stage at TechCrunch Disrupt San Francisco:
I never thought I would hear myself use this term but I really have to describe that news as fake news.
There Was Never a Timeline
Those in the know have always been aware that Goldman Sachs had never provided an official timeline for when such an offering would be launched. Thus, it seems odd that a news outlet would report the project as canceled. As noted by CNBC, Chavez explained on stage:
When we talked about exploring digital assets that it was going to be exploration that would be evolving over time. Maybe someone who was thinking about our activities here got very excited that we would be making markets as principal and physical bitcoin, and as they got into it they realized part of the evolution but its not here yet.
Clients Want It
In fact, Goldman is apparently hard at work on a bitcoin derivative, with Chavez citing client demand. He stated:
The next stage of the exploration is what we call non-deliverable forwards, these are over the counter derivatives, they’re settled in U.S. dollars and the reference price is the bitcoin-U.S. dollar price established by a set of exchanges.
What do you think about Business Insider‘s fake news report? Let us know your thoughts in the comments below!
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