Goldman Sachs mentions cryptocurrencies for the first time in its annual shareholder letter, acknowledging its increasingly important role

PANews March 15th news, according to The block, Goldman Sachs mentioned cryptocurrencies in its annual shareholder letter, acknowledging that it plays an increasingly important role in financial markets and competition. "The growth of electronic transactions and the introduction of new products and new technologies, including transactions and distributed ledger technologies (such as cryptocurrencies) and artificial intelligence technologies, have intensified the competition," Goldman Sachs said in the letter. “In some cases, our competitors may offer financial products that we do not offer and our customers may prefer, including cryptocurrencies and other digital assets that we cannot or may choose not to offer.”

While highlighting the growing popularity of blockchain and digital assets, the company warns of potential risks, including cybersecurity vulnerabilities and market volatility. "Although distributed ledger technology, cryptocurrencies and similar technologies are expanding in popularity and scope of application, these technologies are still in their infancy and may be vulnerable to cyber attacks or have other inherent weaknesses." The letter also warned that the company is at risk in assisting its customers in activities involving blockchain financial products, investing in related companies, and accepting digital assets as collateral.