Goldman Sachs reportedly looking to buy crypto firms after FTX collapse

Goldman Sachs reportedly looking to buy crypto firms after FTX collapse

As the recent FTX debacle impacts crypto company valuations, financial services firm Goldman Sachs wants to step in and invest millions to buy or invest in crypto companies while prices are low. In an interview with leading news agency Reuters, Mathew McDermott, an executive at Goldman Sachs, said big banks see opportunities in this space as FTX’s collapse highlighted the need for more regulation within the industry. The executive added that the 

 firm is currently looking at ” cheaper ” opportunities and is already conducting due diligence on some crypto companies. Commenting on the FTX debacle, McDermott also noted that the market had taken a hit in terms of sentiment. However, the traditional finance manager noted that while FTX has become an “industry poster boy,” the underlying technology behind the industry “still works.”

Since early November, the FTX liquidation crisis and bankruptcy saga have turned the cryptocurrency space upside down. As such, institutional investors like Goldman are looking for opportunities to buy and invest at lower prices while the impact of FTX drives valuations lower.

In the meantime, a UK-based digital bank has forbidden its customers from purchasing cryptocurrencies. Because of this, your customers cannot buy $17,008 worth of Bitcoin BTC tickers or other cryptocurrencies. Apart from that, users cannot receive transfers from cryptocurrency exchanges either. While the FTX crash pushed back the space in terms of interest, some institutional players are working to encourage institutional acceptance. On Jan. 6, cryptocurrency firm SEBA Bank partnered with financial services firm HashKey Group to accelerate institutional cryptocurrency adoption in Hong Kong and Switzerland.

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