Goldman Sachs Group Inc.of GS The Digital Assets team explores the potential of blockchain technology to increase efficiency in private equity and other markets.
what happened: According to the team’s global head, Matthew McDermottbanks continue to be “very supportive” of exploring blockchain applications and plan to adopt them “if necessary” this year.
McDermott told Bloomberg that using Goldman Sachs’ private blockchain, GS DAP, Hong Kong sold a $102 million digital green bond, with settlement taking place just one day after the transaction. rice field.
The team currently consists of 70 members and was just four in 2020, but McDermott suggested continuing to add staff members as needed.
McDermott explained that GS DAP may also be used for other assets such as alternatives, fund units, derivatives and private equity.
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McDermott said blockchain platforms will provide investors with more data, transparency and accurate pricing of assets, increasing liquidity and attracting more investors in the secondary market.
Tokenization has long been considered a potentially transformative use of blockchain technology, but progress has been slowed by concerns about the safety and integrity of public blockchains.
McDermott suggests that it could be years before major financial transactions are ported to public blockchains due to regulatory doubts.
It’s worth noting that Goldman Sachs recently underwent a series of job cuts, removing about 3,200 positions.
However, the bank’s digital asset team remained focused on researching blockchain applications and recruiting new staff members as needed.
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