Goldman Sachs CEO David Solomon has expressed that he does not see Bitcoin as a threat to the US dollar. In a recent discussion at the World Economic Forum in Davos, Solomon emphasized his strong belief in the US dollar while referring to Bitcoin as an “interesting speculative asset.” He highlighted that the underlying technology behind Bitcoin is receiving substantial research attention at Goldman Sachs, with the aim of potentially reducing friction in the financial system.
Solomon pointed out the current regulatory constraints faced by banks regarding Bitcoin . Currently, banks are not permitted to hold or actively engage with Bitcoin in any capacity. He indicated that if regulatory landscapes were to shift, further discussions could take place about the application of Bitcoin in banking.
This viewpoint aligns with the beliefs of industry advocates who argue for the importance of stablecoins in maintaining US dollar dominance. Prominent figures in the blockchain community suggest that overcollateralized, dollar-pegged stablecoins could bolster the US dollar’s status as the world’s reserve currency. The proliferation of stablecoins is seen as a means to provide global access to the dollar, reinforcing its supremacy.
Recent financial data shows that the US Dollar Index is currently at 108.310, marking a slight increase of 0.14% over the past month. In contrast, Bitcoin has seen a notable upswing, trading at approximately $102,911, reflecting a 7.89% gain in the same timeframe.
In addition, Goldman Sachs is looking to establish a dedicated cryptocurrency platform, with plans to spin out its existing services and focus exclusively on creating and trading blockchain-based financial instruments. This initiative is anticipated to materialize within the next 12 to 18 months, subject to regulatory approvals, paving the way for more significant developments in the cryptocurrency landscape.
