Survey says 60% of Goldman Sachs Uber-Rich Clients Could Buy Crypto Soon

American banking giant Goldman Sachs has reported that 60 percent of family offices are interested in purchasing cryptocurrency and other digital assets. Fears about high inflation and currency devaluation seem to be encouraging this interest.

This revelation comes soon after the multinational investment bank alleged that cryptocurrency is “not a viable investment“.

The survey was conducted among 150 family offices of which 15 percent reported that they already owned digital assets, while a further 45 percent indicated they were interested in buying crypto in the future. Family offices refer to private wealth firms that manage the money of the world’s wealthiest individuals.

Fear of Monetary Debasement the Driving Force Behind Buying Crypto

Many firms are looking to crypto as an investment solution, citing it as a hedge against inflation, prolonged low interest rates and concerns about monetary debasement following a year of global fiscal stimulus.

While some are interested in acquiring crypto, 39 percent of global family offices have raised concerns regarding the long-term staying power of digital assets. Additionally, market volatility and issues with infrastructure surrounding crypto are also holding many back from entering the cryptosphere.

Goldman Sachs has found that interest in bitcoin and other cryptocurrencies varies geographically. The survey results concluded that 24 percent of family offices in the Americas have already invested money in digital assets, while only eight percent in both Asia and Europe, the Middle East and Africa (EMEA) have.

Goldman Sachs Operating in the Cryptosphere

Goldman Sachs (GS) acknowledges that many investors continue to invest in real estate and equities, but a great deal also invest in special purpose acquisition companies (SPACs). GS does, however, state that family offices have been interested in cryptocurrencies since the 2017 bull run.

The company has itself started to move into the world of crypto. Earlier this year, GS filed a BTC ETF application with the US Securities and Exchange Commission, joining the likes of Morgan Stanley. Along with the all-important ETF filing, GS has begun facilitating BTC derivatives trading for clients, bridging the gap between BTC and Wall Street.

Meena Flynn, a Goldman Sachs private wealth management executive, has highlighted the significance of blockchain technology:

This technology is going to be as impactful as the internet has been from an efficiency and productivity perspective.

Meena Flynn, GS