Banking giant Goldman Sachs held its highly anticipated client call today, in which the topic of cryptocurrency was floated.
Their analysis of Bitcoin - and reasoning for why it should not be considered a viable investment - is highly flawed and has even led some industry executives to point out the hypocrisy of some of their claims.
Goldman Sachs peddles anti-Bitcoin narrative in latest client call.
In a recent call with clients, Goldman Sachs brought up Bitcoin in what was likely a response to recent comments from billionaire investor Paul Tudor Jones regarding why he believes the cryptocurrency has significant potential.
"We don't recommend gold on a strategic or tactical basis for clients' investment portfolios. We don't recommend bitcoin on a strategic or tactical basis even though its volatility might lend itself to momentum-oriented traders."
To justify this sentiment, the bank put forth a slide titled "Cryptocurrencies Including Bitcoin Are Not an Asset Class," which contained a plethora of bullet points on why investors shouldn't add BTC exposure to their portfolios.
"Hey Goldman Sachs, 2014 just called and asked for their talking points back".
Among the points listed above, Goldman also referenced Bitcoin's use in criminal activities as a reason why it should be avoided.
"Goldman Sachs: In 2019, $2.8 billion in Bitcoin was sent to currency exchanges from criminal entities. Fun Fact: Goldman Sachs facilitated $6 billion in money laundering via 1MDB scandal between 2012-13. Double standard much?".
Because Bitcoin is the antithesis of big banks, it is highly unlikely that they will apt to embrace it anytime soon.
Goldman Sachs offers highly flawed analysis of Bitcoin: here's what they missed
Published on May 27, 2020
by Cryptoslate | Published on Coinage
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