The Goldman Sachs Group Inc. (GS) executed its first over-the-counter (OTC) crypto trade through its trading partner Galaxy Digital Holdings Ltd. (GLXY).1 This is the first such transaction by a major U.S. bank.
The Bitcoin (BTC) trade executed by Goldman is a non-deliverable option (NDO), also known as a cash-settled option. This means that when the option is settled, instead of receiving Bitcoin, the option-holder is given its cash value.
Personally I’m not a fan of mixing banks and Bitcoin, but it’s news!
Goldman is super late to this lol. Binance and FTX and also coinbase already do tons of OTC trades. Though I’d be curious to see the details here, if they are trading their own assets or for a client?
It was only a few years ago they were saying any staff found to be buying Bitcoin would lose their job, how times change.
Edit: that was JP Morgan, but good to see further adoption. The banks aren’t going anywhere and actions like this by then further legitimises the space which is good for us.
