Goldman Sachs Is Bringing bitcoin-Backed Loans To Traditional Finance

Lending and borrowing have become words that are associated with Bitcoin. This is the same with traditional finance where lending and borrowing remain a big part of the ecosystem. However, there has not been an intersection of these three. This has mostly stemmed from the distrust of traditional finance toward bitcoin. The digital asset which remains largely unregulated did not provide the kind of backing tradfi wanted. That is until now. Bitcoin-Backed Loans In Tradfi Investment bank Goldman Sachs has announced the introduction of Bitcoin-backed loans. In what is a first for a major U.S. bank, Goldman Sachs has expanded its crypto offerings to include these bitcoin-backed loans. It is the first secured lending facility of its kind which will lend out cash that is collateralized by BTC. Related Reading | Number Of Bitcoin Millionaires On The Rise As Accumulation Continues Mostly, banks have shied away from the cryptocurrency due to its highly volatile and unregulated nature. Nevertheless, various institutions have taken to providing services that revolve around cryptos such as asset and wealth management, trading, and investment. All of which remains a far cry from cash loans that use bitcoin as collateral. A move like this will see not only Wall Street embrace the cryptocurrency faster but other factions of the traditional finance will begin to move in this direction. BTC succumbs to bears | Source: BTCUSD on Tradin...