As per reports, Goldman Sachs is looking for a partnership with a prominent crypto exchange named FTX. David Solomon – Goldman Sachs’ chief executive officer – reportedly had a conversation with Sam Bankman-Fried (FTX’s founder) in a meeting behind the closed doors in March, According to the Financial Times report. The report also mentioned that they talked about diverse results of operating in collaboration.
The chief factors covering the discussion took into account minimizing the regulatory compliance across the United States, and a proposal for being a helping hand in this respect was made by Goldman Sachs, particularly in the case of the Commodity Futures Trading Commission. In addition to regulatory assistance, the help for upcoming funding rounds was also offered by the Wall Street bank.
The unique report points out the increasing bonding between conventional giants from Wall Street and exclusive crypto firms. Interest has also been expressed by Goldman Sachs in assisting FTX to have a public listing. Nonetheless, people acquainted with the subject asserted that at present Bankman Fried is pursuing additional private chances for fundraising.
Previously, FTX has reached a valuation of up to $32 billion following rounds of funding that comprised several hundred million dollars. The recent funding round was witnessed at the denouement of this January when a funding round of nearly $400 million was accomplished by the crypto venue, being additionally the lowest among the three rounds in terms of valuation. A long journey has been traveled by Goldman Sachs to this point since its initial days of utilizing Bitcoin.
At present, the platform is moving toward securing a proportion of FTX (which is known as one of the largest firms in the crypto market). This gradual movement may pave the way toward some huge steps to be taken in the future. The reports of a partnership between these two platforms are witnessed at a point when an application had been submitted on the behalf of FTX with CFTC, proposing to exclude brokers like Wall Street banks from the financial markets in terms of the futures products of the venue.
The crypto exchange submitted a request in March to the derivatives regulatory of the United States, CFTC, to permit the company to initiate the trading of crypto derivatives with the retail investors along with settling their trades without any intermediary taking into account Goldman Sachs.
