There are two banks in the Wall Street portfolio that get involved in the Bitcoin system. Goldman Sachs now has a cryptocurrency competitor, named Morgan Stanley Bank.
There is a high demand on the US market for Bitcoin’s niche futures. This financial activity is on the rise, this being the reason why one of the most influential banks on Wall Street entered the game. It all started in December 2017, when Goldman Sachs Group announced that is preparing to clear Bitcoin futures.
Not everybody can take part of these futures, because banks are choosing which clients should benefit from them. Also, there are two exchange markets that are already managing futures contracts since late 2017: Chicago Board Options Exchange (CBOE) and Chicago Mercantile Exchange (CME), and both of them seem to have success among users.
The Chief Financial Officer of Morgan Stanley’s Bank- Jonathan Pruzan mentioned that “If someone wants to do a trade on the futures and settle in cash, we’ll do that. I wouldn’t say it’s been a lot of activity, but it’s for core institutional clients who want to participate in a derivatives transaction”, related Finance Magnates.
Wall Street seems to get more interested in the crypto world as well as institutional clients and independent users. Due to the high demand on the market, banks start to get involved in crypto activities. It’s a win-win project.
It’s still uncertain about what other activities and offers will Morgan Stanley Bank have and provide beside Bitcoin futures. But, we guess it will attract a lot of investors and institutional clients. The bank doesn’t disclose all their management strategies- yet. In present, the bank wants to focus only on clearing activities.
One thing is for sure, the high number of demands will blow the market and there will be more and more financial institutions that will come with innovative ideas.