Goldman makes its first Bitcoin-backed loan

Goldman Sachs has announced its first-ever lending facility that has been backed by Bitcoin

The arrangement allows crypto owners to receive fiat such as USD by using their crypto as collateral, but it is a first for the Wall Street bank.

After years of resistance, the surge in price and popularity of crypto have been making Wall Street banks ramp up their crypto offerings.

As mentioned by Coindesk: “Goldman is following in the footsteps of other traditional finance giants moving further into crypto. Last month, Cowen launched a digital assets unit and BlackRock (BLK) participated in the $400 million funding round for USDC stablecoin creator Circle”.

So with Goldman not being alone in its foray into digital assets, it’s fair to say that crypto adoption is gradually pacing up amid Wall Street banks, with some other banks also ramping up their movements into the cryptocurrency space.

Accoinding to CryptoPotato: “Damien Vanderwilt, co-president of Galaxy Digital Holdings, commented that accepting crypto assets as collateral is the next step beyond services such as wealth management, trading, and investment banking for Wall Street banks. Crypto-centric banks such as Silvergate Capital already provide loans for crypto collateral”.