Goldman Sachs Eyes Collaboration With Crypto Exchange FTX as CEOs Meet: Report

Sam Bankman-Fried and David Solomon discussed Goldman Sachs advising FTX in talks with U.S. regulators and a possible IPO.

AccessTimeIconApr 21, 2022 at 8:51 a.m. UTC
Updated Jun 2, 2022 at 8:47 p.m. UTC

Jamie Crawley is a CoinDesk news reporter based in London.

Sam Bankman-Fried, the founder and CEO of crypto exchange FTX, met Goldman Sachs (GS) CEO David Solomon in the Caribbean to discuss potential collaborations between the two firms, the Financial Times reported Thursday.

  • The two chief executives discussed Goldman Sachs advising FTX, which was valued at $32 billion in January, on future funding rounds and taking a role in a potential initial public offering (IPO), according to the report, which cited people familiar with the matter.
  • Solomon also offered Goldman Sachs's advice to FTX in discussions with regulators in the U.S. FTX filed a proposal with the Commodity Futures Trading Commission in March that would allow it to directly clear trades of its derivatives customers. The regulator will give the proposal an informal hearing on May 23.
  • The two also discussed collaborating on market making in crypto trades. Market making involves setting buy and sell prices on certain assets to facilitate trades and provide liquidity.
  • The discussions demonstrate the increasing interest mainstream financial institutions are taking in the crypto industry after Goldman Sachs led the initial public offering (IPO) of crypto exchange Coinbase (COIN) last year.
  • Goldman Sachs declined to comment on the report when contacted by CoinDesk. FTX had not responded by press time.

Read more about

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.

Trending

2
CoinDesk - Unknown
La caída de las criptomonedas podría continuar debido a la complejidad del sistema, dice Deutsche Bank

Como bitcoin y otros activos son de alto riesgo y especulativos, se ven afectados de manera desproporcionada por los ajustes de la Fed, según un informe.

CoinDesk - Unknown
3
CoinDesk - Unknown
CoinDesk Industry Group Select Equal Weight Index (DIGS)
CoinDesk - Unknown
4
CoinDesk - Unknown
Digital Pseudonyms: One More Way to Make Working From Home Secure

A system of pseudonymous digital credentials would benefit organizations and ensure individuals control their personal data.

CoinDesk - Unknown