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Goldman Sachs will reportedly offer ether options for clients as the firm expands its crypto-trading business

Jun 15, 2021, 02:24 IST
Business Insider
Photo by Yuriko Nakao/Getty Images
  • Goldman Sachs will offer ether options and futures to its clients, Bloomberg first reported.
  • "We've actually seen a lot of interest from clients who are eager to trade," Mathew McDermott of Goldman said.
  • The bank also has plans to facilitate trades via exchange-traded notes tracking bitcoin.
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Goldman Sachs will offer ether options and futures to its clients as the investment bank expands its cryptocurrency trading business, Bloomberg first reported.

"We've actually seen a lot of interest from clients who are eager to trade as they find these levels as a slightly more palatable entry point," Mathew McDermott, head of digital assets at Goldman, told Bloomberg.

He continued: "We see it as a cleansing exercise to reduce some of the leverage and the excess in the system, especially from a retail perspective."

The New York-based bank is expanding from its bitcoin offering after restarting its cryptocurrency trading desk to trade bitcoin futures earlier this year amid a boom in the popular coin. Goldman first set up a cryptocurrency desk in 2018.

The 47-year-old McDermott also told Bloomberg that Goldman has plans to facilitate trades via exchange-traded notes tracking bitcoin.

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Cryptocurrencies, led by bitcoin, have staged a modest rebound on Monday following its massive crash in May when it lost almost half of its market value in one week alone.

Yet a recent finding from crypto-asset broker Voyager revealed that 81% of respondents in a recent survey are more confident in the future of cryptocurrency following last month's sell-off.

"Institutional adoption will continue," McDermott said. "Despite the material price correction, we continue to see a significant amount of interest in this space."

In March, that bank's COO and president John Waldron said he has seen an increase in interest from his clients when it comes to investing in bitcoin.

"Client demand is rising," Waldron said in a Wolfe Virtual FinTech Forum. "The pandemic has been a significant accelerant. There is no question in our mind there will be more digital commerce … and (use of) digital money."

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Read more: Goldman Sachs says buy these 37 stocks that will offer strong returns with minimal risk through year-end as growth names regain leadership

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