Goldman is the first major U.S. bank to trade crypto over the counter, CNBC was first to report. The bank traded a bitcoin-linked instrument called a non-deliverable option with crypto merchant bank Galaxy Digital, the firms said.
The move is seen as a notable step in the development of crypto markets for institutional investors. Compared with the exchange-based CME Group bitcoin products Goldman began trading last year, the bank is taking on greater risk by acting as a principal in the transactions, according to the firms.
“This trade represents the first step that banks have taken to offer direct, customizable exposures to the crypto market on behalf of their clients,” said Galaxy co-President Damien Vanderwilt.
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