Goldman Sachs Makes the First OTC Bitcoin Trade
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!