2022-4-6 14:07 |
Goldman Sachs has announced plans to provide over-the-counter (OTC) options trading for Ethereum (ETH/USD) to its clients. The Wall Street giant has attributed this to increased interest and demand for Ether.
The launch of this product comes after Goldman Sachs announced the launch of an OTC options trade for Bitcoin (BTC/USD). This service was launched through Galaxy Digital, a digital fund manager that provides liquidity for Goldman Sachs’ cryptocurrency products.
Goldman Sachs to offer Ether OTC options tradingGoldman Sachs noted that client interest in Ethereum grew because of an anticipated shift to a PoS model. Ethereum is transitioning from a proof-of-work model to a PoS model, and this move has been bullish for ETH.
The global head for crypto trading at the investment bank, Andrei Kazantsev, confirmed that OTC Ethereum options would be launched soon. OTC transactions involve large sums of money, and they target institutional investors.
The launch of Ethereum OTC trading options shows big corporations’ increased interest in cryptocurrencies. Currently, Goldman Sachs does not offer spot crypto trading, but it has other crypto products such as exchange-traded funds (ETFs) and options trading.
The growing popularity of ETHEthereum is transitioning into a POS consensus soon, contributing to increasing the token’s trading volumes. Ethereum is the largest altcoin by market capitalization.
PoS networks consume less energy than PoW networks that rely on high computational power. A PoS consensus is expected to make ETH more accessible. Moreover, Ether staking is expected to attract debt investors towards the token because of the promise of high returns.
Staking is a process that involves locking tokens in a network for a designated period. This would make staking Ether similar to buying a bond, an attractive investment option for many institutions.
These developments are bullish for Ethereum, and analysts now believe that the token could be headed towards a major bullish rally. Some predictions place Ethereum at over $10,000 by the end of the year. At the time of writing, Ether was trading at $3348.81, according to CoinGecko.
The post Goldman Sachs plans to offer OTC trading for Ethereum options appeared first on Invezz.
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