Goldman Sachs has announced the release of a unique product that meets the needs of their demanding customers, called Non-Deriative Funds (NDF), a product that involves cryptocurrency trading. However, there is an assumption that in fact there is no demand among customers for such products, and that this is only a strategy that a large bank is researching in order to gain an advantage in a bitcoin-based market system.
Assumptions that there is no demand for such tools seem to be caused by the latest statements by asset management gurus, Larry Fink, CEO of BlackRock with a portfolio of $6 trillion. The industry leader said that such requests are not that there were few, but in general there was no demand among large customers for operations with Bitcoins.
Some sources claim that Fink reported in July:
“I do not think that any client was looking for cryptocurrency. I have not heard from one client who says: “I need to be in it.”
The most attractive feature of this new direction is that NDF will be based on Bitcoin. The possibility of creating contracts on the basis of Ether is close to zero, according to industry insiders who refute the assumption that Ether, the second largest token, is also being considered by the bank.
Another view is that Goldman Sachs plan to “play” on an unstable cryptocurrency market and promote their position, which is already awaited in the crypto community.
Meanwhile, the Goldman Sachs offer was designed to ensure minimal risk for its customers. Thus, the product will be short-term and based on bitcoin. A simple method is that investors can use the foreign currency of their choice to buy Bitcoin, but profit or loss must be monetized through the cryptocurrency. It is assumed that the use of foreign currencies will allow these banking institutions to gain additional access to these markets.
In addition, it was suggested that the bank might consider using the ether, a promising coin that is expected to attract the attention of every investor. Low prices for coins are quite attractive, and the technology platform is also highly valued among community members.
However, the latest industry news shows that NDF is not being broadcasted at all, and at the moment Bitcoin is the main source of interest.
Consequently, the proposal of large players on the introduction of coin-based NDF is not only interesting and offers great opportunities for investors, but also the creation of the necessary ecosystem for such adaptation by global investors.
The role of the bank is to ensure that their client gets access to these tools with minimal risk.