Goldman Sachs CEO Lloyd Blankfein recently stated publicly that although he doesn’t own any Bitcoin, it would be “too arrogant” to claim that cryptocurrency didn’t have a future. Ironically, the New York branch of Goldman Sachs began trading in Bitcoin Futures last month.
Lloyd Blankfein, the CEO of investment banking colossus Goldman Sachs admits he does not own a single Bitcoin, even though the bank he runs now trades in it. However, unlike Warren Buffet, Blankfein has the dexterity of mind to admit that while Bitcoin “wasn’t for him”, it still may have a future in society.
The Economic Club Of New York
Mr. Blankfein gave a talk at The Economic Club Of New York this week (previous speakers include President Donald Trump, pictured). When it came to discussing cryptocurrency, or Bitcoin specifically, the banker was both cautious and optimistic as to its future.
Like many money men before him attempting to explain the cryptocurrency phenomenon, Blankfein went the tried and tested route of describing how the major countries of the world had used gold as collateral for their currency until recently, but in the modern era, fiat currencies are based on nothing more than the backing of a government. By using that example, Blankfein said he could see a world where a cryptocurrency could indeed exist.
Here are just three of Lloyd Blankfein’s more crypto-related quotes:
“If you could go through that fiat currency where they say this is worth what it’s worth because I, the government, says it is, why couldn’t you have a consensus currency?”
“If it is a legal currency, then it is very worthwhile. But now that the government has not recognized it, there is no way to reach a consensus.”
“So this is not something I have to do. I don’t have Bitcoin. As far as I know, Goldman Sachs doesn’t own Bitcoin either. But if it succeeds in the future, I can tell you why this is so. This is obvious.”
Lloyd Blankfein – The Wall Street Banker Who’s Not Anti-Bitcoin
Blankfein’s attitude toward Bitcoin in general is surprisingly positive, and while he admits it’s not something he would personally invest in, he is far more open and accepting than many other Wall Street bankers. For example, JP Morgan CEO Jamie Dimon recently said in public that he saw Bitcoin as a kind of “fraud.”
Blankfein does not want to completely distance himself Bitcoin, and for good reason: Goldman Sachs has recently set up a cryptocurrency trading department specializing in Bitcoin, and recruited a large number of employees to staff that department. Should Goldman Sachs start to turn a profit from Bitcoin, Lloyd Blankfein may be forced to change his stance on cryptocurrency one more time.