Goldman Sachs Executive supports national cryptocurrency future, stating that it is quite possible that cryptocurrencies might one day be issued by the central banks. She also added that these can be “incredibly useful.”
28 February, AtoZForex – The investment officer for Goldman’s Private Wealth Management unit, Sharmin Mossavar-Rahmani, has shared her outlook in regards to the cryptocurrency market with the public. She has stated that it is quite possible that cryptocurrencies might one day be issued by the central banks. She also added that these can be “incredibly useful.”
Goldman Sachs Executive supports National Cryptocurrency Future
Mrs. Mossavar-Rahmani has also highlighted that “we think cryptocurrencies in their current format, meaning that in the current incarnation, are in a bubble.”
She has further added:
“The bitcoin prices are astronomical. Then we compare that to ether, and ether is even more astronomical. So clearly, these valuations don’t make sense to us.”
However, her stance in regards to the central bank-issued cryptocurrency has appeared more positive. She has stated that the central-bank issued cryptocurrencies might be even more useful than the coins that exist today. She has been quoted as saying:
“Is there room for a digital currency, maybe sponsored by one of the major central banks like the Federal Reserve? Yes. Could it be incredibly useful? Could it reduce transaction costs? Yes. But not these ones.”
Cryptocurrency Market Impact on Economy
Following on this, Mrs. Mossavar-Rahmani has also talked about the impact of a potential downtrend in the cryptocurrency market on the overall global economy. She has described the influence as “small”. She explained that this is the case due to the fact that cryptocurrencies currently make up less than 1 percent of the global Gross Domestic Product (GDP). Mrs. Mossavar-Rahmani has added:
“So in terms of the impact, it’ll have some impact. There are a lot of people who have set up various exchanges, infrastructure, hedge funds in that space, so obviously, they will get hurt. But it’s a very, very small part of global GDP.”
In fact, earlier last month, Goldman Sachs has shared a report in regards to the cryptocurrencies.
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