Join NexChange - the professional
network for the financial services
industry - and receive a free one-
year subscription to Forbes
Goldman Sach's zeal for blockchain
Goldman Sachs is very serious about blockchain. Last week, the U.S. bank filed a patent for a virtual currency settlement system called SETLcoin that uses blockchain technology.
If Goldman Sachs had its way, “SETLcoin” could ultimately be as much a part of the financial services lexicon as dollar, euros or yen, writes the Financial Times. (paywall)
Of course, other top banks are also investing heavily in new fintech.
But the difference between Goldman and its peers is scale. According to estimates by Credit Suisse analyst Susan Roth Katzke, Goldman will spend between $2.5bn and $3.2bn on tech this year, or 7 to 9 per cent of its revenues. That compares to public disclosures from JPMorgan Chase and Bank of America of 3 per cent and 4 per cent of revenues, respectively.
And Goldman’s marketing drive is now firmly underway too:
“The blockchain could disrupt everything,” wrote Goldman strategists last week in a note to clients called “Themes, Dreams and Flying Machines”.