Following JP Morgan, Goldman Sachs is preparing to launch its own cryptocurrency

American banking giant Goldman Sachs can follow in the footsteps of its rival JP Morgan. The bank is considering the possibility of launching its own cryptocurrency .

David Solomon, Goldman Sachs CEO, told the French financial newspaper Les Echos that they are conducting extensive research on the concept of “tokenization”.

Solomon expressed confidence that the digital currency, based on the blockchain , is able to provide trouble-free international payments. Like JP Morgan, Goldman Sachs believes that such an asset should be provided with fiat currencies.

According to Solomon, the rules of the cryptocurrency sector are likely to change in the near future.

“I think that regulators around the world are watching what is happening. They wonder how it will work, and are very attentive to payment systems. There will be changes in regulation, that's for sure , ”said Solomon.

When asked whether Goldman Sachs is in talks with Facebook about a possible partnership in the development and use of Libra cryptocurrency , Solomon declined to comment.

“Banks must remain innovative, otherwise they will disappear”

Regarding competition among technology companies and major financial organizations seeking to consolidate the cryptocurrency market, Solomon said the following:

“Many are looking in this direction. But it is too early to talk about which platform will dominate. I can't tell you whether [Facebook] will be this platform or some of the fifty others that people follow. ”

According to David, it will take a long time to implement any of these projects.

"Sheryl Sandberg herself (Facebook's chief operating officer) said that they are still very, very far from launch," he added.

Regarding why banks seek to enter cryptocurrency space, Solomon noted:

"Banks must remain innovative, otherwise they will disappear."

As we have already reported , in parallel with the summit of G20 leaders, which began today in Osaka, the leaders of the cryptocurrency industry together with the politicians will hold here the summit “ Virtual Service Provider ” or V20.

V20 participants will include delegates to the G20 meetings, government agencies and politicians, cryptocurrency exchanges and digital service providers, in particular, representatives of FATF, regulators and national legislatures.

Publication date 06/29/2019
Share this material on social networks and leave your opinion in the comments below.