Valuations of crypto companies fell in the wake of the collapse of the FTX exchange. Seeing this decline as an opportunity Goldman Sachsadmitted that he has plans to buy or invest in the crypto company.
Goldman Sachs executive Mathew McDermott evaluated the situation in an interview on the Reuters channel. Executive, FTX He stressed that there was a real need for regulation in the industry after its collapse. According to the manager, the current conditions offer interesting opportunities for many banks to invest.
The manager explained that Goldman Sachs also wants to take advantage of the available opportunities. He also explained that the company conducts due diligence on many different crypto companies.
Commenting on the FTX collapse, McDermott underlined that the market faced disruptions in terms of sentiment. However, he stressed that while FTX has become a “headline subject” in this space, the technology underlying the industry “continues to perform.”
The crisis in the FTX stock market and the subsequent bankruptcy became the dominant factor in the cryptocurrency market throughout November. While the collapse of the stock market created a domino effect, it also caused many companies to be in a difficult situation or to go bankrupt. Institutional investors such as Goldman Sachs interpret this situation as an opportunity and seek investment opportunities.
A UK-based digital bank has banned crypto purchases for its users. Therefore, customers bitcoin or it is no longer possible for them to buy other cryptos. Apart from that, users will not be able to receive transfers from crypto exchange platforms.
While the collapse of FTX has dampened interest in this space, some institutional players are working to increase institutional adoption. On December 6, crypto firm SEBA Bank partnered with financial services firm HashKey Group to accelerate institutional adoption for crypto in Hong Kong and Switzerland.
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Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.