As the current FTX downturn has impacted crypto company valuations, financial services major Goldman Sachs is planning to rush in and spend millions to acquire or invest in crypto companies as the prices are low.
In an interview with the major news agency Reuters, Goldman Sachs executive Mathew McDermott was quoted as saying that big banks have a chance in the market now that the FTX crash has shown the need for stricter rules in the business world.
The CEO says that the company is looking for prospects that are “priced more fairly” and is already doing research on a few crypto startups.
In addition to the FTX incident, McDermott said that the market had suffered losses in terms of sentiment. However, the conventional finance executive noted that, although FTX became the industry’s “poster child,” the underlying technology “continues to function.”
Since the beginning of November, the FTX liquidation issue and bankruptcy story have flipped the crypto industry upside down. The bankruptcy of FTX has had a cascading effect on crypto-focused enterprises that have some exposure to the troubled corporation. As a result, institutional investors such as Goldman Sachs are seeking chances to acquire and invest at cheaper prices as the impacts of FTX reduce values.
Meanwhile, a digital bank located in the United Kingdom has prohibited its customers from purchasing cryptocurrency. As a result, its consumers will be unable to purchase Bitcoin (BTC) tickers below $17,025 or other cryptocurrencies. Users would also be unable to receive transfers from cryptocurrency exchange sites.
While the FTX crash reduced interest in the market, certain institutional actors are seeking to increase institutional adoption. On December 6, crypto business SEBA Bank announced a partnership with financial services firm HashKey Group to accelerate institutional adoption of cryptocurrency in Hong Kong and Switzerland.
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