The Wall Street companies seem to withdraw from the cryptocurrency market. According to a recent report released of Bloomberg, while the market falls and experiences regulatory problems, Wall Street remains far from it. Although in the past it seemed that several companies were ready to enter the market, things have changed in recent months.
Wall Street retreats
During 2018 virtual currencies lost about 80% or more of their value. The most valuable cryptocurrencies have not been able to sustain their prices in this bear market. At the same time, the regulatory environment becomes more confusing over time. Although there are some intentions to improve it, the lack of clear rules is damaging the space.
When digital resources grew and reached their historical highs, several Wall Street companies paid close attention to the market. Some of them, like Nasdaq, announced that they would launch cryptographic products or services related to the industry. Other companies that showed interest were Goldman Sachs, Fidelity Investments or Barclays.
Goldman Sachs, for example, was trying to launch Bitcoin futures on the market. There were rumors on the internet explaining that they were also developing an encryption desk. In addition, the company signed a partnership with Galaxy Digital and led a $ 57 million Series B investment in BitGo. However, no clear information is available on the products or services that it intended to start.
A short time ago, we wrote about UseTheBitcoin that some reports indicated that Goldman Sachs has started signing some customers for his Bitcoin trading product. This information was provided by a source with relevant knowledge.
Citigroup is another company that appears to be on standby regarding encrypted investment plans. The company has reportedly worked on a cryptocurrency product to help asset management companies and other investors reduce their risk when investing in digital assets. The product would have been called Digital Asset Receipt.
Barclays, one of the most recognized British banking institutions, has also made it clear that it could start entering the encrypted market. The company has hired some traders to lead the digital asset division. The main intention was to understand how to better insert cryptographic space. The company also has denied rumors about the release of cryptographic services and products.
In 2019, regulatory agencies will play an important role in shaping the regulations that the market needs. We have seen how the US Securities and Exchange Commission (SEC) checked initial coin offerings (ICOs) in the last months of this year. In Japan or Malta, the regulatory framework is much clearer than before. Companies are settling their operations in these jurisdictions, trying to improve their presence in space.
Now, Bitcoin is trading close to $ 3,900 after trading above $ 4,300 a few days ago.