Goldman Sachs Invites Experts to the Top of the Virtual Currency Market Sector
A major investment banker, Goldman Sachs, welcomed Justin Schmid, who was familiar with the virtual currency market, to Vice President.
Mr. Schmidt is assigned to the securities division of the New York headquarters and handles clients who are motivated to invest in virtual currency.
According to testimonies from Goldman Sachs officials, the demand for the client’s virtual currency market seems to be on the rise, there seems to be rumors that it will soon open a trading desk dedicated to virtual currency.
Goldman Sachs is funding a Circle that provides payment services using virtual currency. Circle also provides OTC (face-to-face transaction) services for large investors.
Jeremi Alaiya of Circle has revealed that inquiries to OTC services are increasing since the beginning of this year. With the increase in demand OTC’s minimum transaction volume has been raised to double the US$ 500,000. The average amount traded at once in OTC is about 1 million US dollars.
The virtual currency market is smaller in scale and lower in liquidity than the stock market and fixed income market, and it is difficult for large investors such as institutional investors to enter. Meanwhile, major investment banks such as Goldman Sachs are actively trying to attract institutional investors through OTC, and it will be possible to accept a large amount of funds from now on.
In February Circle also acquired Poloniex of the virtual currency exchange. Increasing Circle’s minimum OTC transaction value seems to indicate that the demand for the transaction itself has risen and that the supply system for virtual currencies capable of responding to high trading is in place.
Author: Marko Vidrih @cryptomarks