Advertisement

Goldman Sachs to Spend 'Tens of Millions' on Discounted Crypto Investments After FTX Implosion: Report

Goldman Sachs (GS), one of the world's largest investment banks, is looking to spend tens of millions of dollars on crypto firms whose valuations have been hit after the implosion of FTX, Reuters reported on Tuesday.

Crypto exchange FTX filed for chapter 11 bankruptcy on Nov. 11 following troubling revelations about its financial condition and relationship with trading firm Alameda Research.

The FTX fiasco was the latest blow to an industry that has seen several high-profile bankruptcies in the past few months amid a depressed market. The contagion has affected such firms as crypto lender BlockFi, which also filed bankruptcy last month.

"We do see some really interesting opportunities, priced much more sensibly," Mathew McDermott, Goldman's head of digital assets, told Reuters. Goldman sees an increased need for trustworthy players in the industry, which the bank see as an opportunity, he said.

Goldman Sachs didn't respond immediately to a request for comment.