Goldman Sachs Start to Dabble in Cryptocurrencies

May 4, 2018 by Adrian Thorpe

Goldman Sachs Bitcoin Trading DeskIt was only going to be a matter of time before one of the major investment banks turned their attention to investing in cryptocurrencies, however it did take many people by surprise that the very first one to make serious inroads into that trading environment was Goldman Sachs!

After having been badgered by many of their forward-thinking clients they have final bitten the bullet so to speak, and will be opening a Bitcoin trading desk, that will allow any of their clients to dip their toes into Bitcoin and probably a range of other cryptocurrencies too.

Now I have been saying for quite some time, that there were way too many people in the banking industry that had been playing down the importance of cryptocurrencies, and many of those much more outspoken bankers have been saying that they have no future and are simply a speculative bubble that was about to burst and leave a trail of destruction when they do so.

However, as the years have ticked by the opposite is true, and now there are more people investing in all manner of different cryptocurrencies, coins and tokens that ever before.

That upward trend of such investors is not going to slow down or go into reverse any time soon and with Goldman Sachs now opening the doors and probably the floodgates to a new army of potential investors, I am of the mind that Bitcoin could soon start to rise in value and rise in value quite noticeably too in the very near future!

Pros and Cons of Using an Investment Banks Trading Desk

Now do not be under the illusion that Goldman Sachs have opened a Bitcoin trading desk purely down to them being nice, they will have of course in the forefront of their minds a nice set of fees and charges that are going to be imposing on their clients.

As such you need to ask yourself is it going to be worth using such a service either from them or from any of the many other investment banks that will no doubt follow their lead and open a Bitcoin trading desk.

One thing that all cryptocurrency traders and investors have had to get used to when using one of the more traditional ways of buying into any cryptocurrencies and then selling them on using a digital currency change are fees and charges.

It will be a case of wait and see as to whether Goldman Sachs fee and charges will be in any way much more appealing than those charged by digital currency exchanges, but fees and charges their will be and they are always going to reduce the value of any profits that you do make when investing in any cryptocurrencies.

Many people may also be swayed by so called experts working for such establishments too regarding whether to buy or sell their cryptocurrency holdings, and as there is no such thing as a professional and constantly profitable cryptocurrency trader there will be risks associated with taking such advice too!

Educate Yourself of the Risks of Cryptocurrency Trading

The best course of action I would advise anybody who has been tempted to start investing in any of the cryptocurrencies coins and tokens that are readily available these days, is to set aside as much time as you need and require to learn the full ins and outs of such investments.

You are going to find there are plenty of resources available online, including of course this very website, that are going to allow you to see many of the pitfalls that other investors have fallen into, and by being aware of those pitfalls you can then be aware of them and avoid making the same mistakes as investors that have gone before you!

Start educating yourself rom the ground up and find out what exactly the blockchain is and how it works and operates too. Once you have got to grips with all aspects of the blockchain and the importance of things such as miners, then move onto finding out how you can store Bitcoin and other cryptocurrencies completely safely and securely.

Then, and this is probably the most important aspect of becoming a cryptocurrency investor, find out what are going to be the most cost-effective ways for you to then go about buying and then selling your cryptocurrency holdings too, and once you are fully armed with all that information dip your toes into the water so to speak and buy into some of them!