Blockchain technology has revolutionized the globe. The invention of blockchain technology and cryptocurrencies has paved the path for a new realm. Even though some don’t believe in the potential of cryptocurrencies, the underlying technology has definitely intrigued many.
Over the years, the cryptocurrency market has experienced several tumultuous periods. However, the current one appears to be the most turbulent to date. Companies have been failing one after another like dominoes. However, Goldman Sachs has been trying to get their hands on several cryptocurrency firms, either to invest in or buy them during difficult times.
David M. Solomon, CEO of Goldman Sachs, recently spoke to the Wall Street Journal, reassuring his belief in blockchain technology.
Solomon believes that blockchain interrupted banks
“Unlike other waves of innovation, blockchain technology came in and disrupted heavily regulated industries.”
Speaking to the Wall Street Journal, Solomon asserted the fact that blockchain technology disrupts banks and other heavily regulated industries. He also highlighted that blockchain technology is helping firms change how they raise money.
With the fall of cryptocurrency behemoths and the necessity to bring in a regulatory framework, the call for regulation is difficult for cryptocurrencies. According to him, it is only one side of blockchain.
“Cryptocurrencies are only one of blockchain’s many applications, so we shouldn’t miss the forest for the trees. Used correctly, blockchain can support responsible innovation across the financial industry.”
Solomon also shared an example of how blockchain has made the work of Goldman Sachs easier. “Using blockchain, we’ve been building trading platforms where clients can trade with each other in minutes.”
He also spoke about how they settled a $100 million, two-year digital bond for the European Investment Bank using a private blockchain. Bond sales usually have a time period of five days to settle. However, using the private blockchain, they settled the bond in 60 seconds. However, private blockchains are claimed to be worse as compared to public blockchains.