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Wall Street Giants Postpone Entering Digital Currency Market amid Falling Prices

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Bloomberg reported on 23 December that Wall Street giants are delaying their plans for a more active entry into the crypto
industry due to their falling prices.

The Bloomberg article starts as: “The purgatory is where Wall Street is now when it comes to digital currencies.” The article also focuses on the attempts made by large companies such as Goldman Sachs, Morgan Stanley, Citigroup, and Barclays in the
current year.

According to those familiar with the activities of Goldman Sachs in digital currencies, the company’s progress in this area has been quite slow and unnoticeable. An anonymous source informed Bloomberg that the company’s investment funds for digital currencies have only attracted 20 customers.

Further, Justin Schmidt, a senior staff member of the Digital Assets Department of Goldman Sachs disclosed in November that the policymakers are constraining his plans. Nevertheless, a source close to Goldman Sachs claimed that the company is
seeking to add a digital currencies specialist to its brokering department.

Furthermore, the informed sources say that the large company Morgan Stanley Co. has been ready to start the swap for
pursuing future bitcoin contracts, but has not signed even a single contract so far; however, an anonymous source informed
Bloomberg that the company is ready to start its digital currency services the moment it witnesses signs of demand.

Citigroup and Barclays multinational corporations have also encountered such problems. The reports indicate that the
American banking group, Citigroup, has not so far traded any of its products related to digital currencies through a legislated

In the large British bank, Barclays, the two staff members recruited to investigate digital currencies have left the company in
the current year. The company is said to have no plans for starting a dealing desk for digital currencies.

Recently, Mike Novogratz, the former partner of Goldman Sachs Co. and the current CEO of Galaxy Digital Co. which operates in investment in digital currencies, predicted that financial institutions would probably enter into more details of digital
currencies in the first and second quarter of 2019. Shortly after, Novogratz and Goldman Sachs invested approximately 15
million US Dollars on BitGo (protection service for digital currencies).

Moreover, Goldman Sachs Co. has denied rumors concerning their resignation from starting a digital currency dealing desk. In November, Morgan Stanley Group published its latest report on bitcoin, “Update: Bitcoin, Digital Currencies, and Blockchain,” which stated that following 2017, bitcoins and altcoins had formed a “new organizational investment class.”

A few months ago, BAKKT, the digital asset platform established by the director of the New York Stock Exchange, announced that the platform aimed to start its operation on 24 January 2018.

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