Goldman Sachs Eyes Own Token as Bank Appoints New Head of Digital Assets

Goldman Sachs is seriously considering its own cryptocurrency, possibly a stablecoin, as it significantly expands its digital assets team and appoints a new head to spearhead efforts.

• Michael McDermott, Goldman's new digital asset global head, confirmed the U.S. investment bank was exploring whether to launch its own digital asset, CNBC reported Thursday.
• "We are exploring the commercial viability of creating our own fiat digital token, but it’s early days as we continue to work through the potential use cases," he said.
• In post for a month, McDermott's first key hire was Oli Harris as head of strategy; Harris was instrumental in JP Morgan's blockchain, Quroum, as well as its settlement coin, JPMCoin.
• McDermott is already looking at how blockchain can make savings in the inefficient repurchase or "repo" market used by banks to lend money to one another, as well as credit and mortgage markets.
• He also said Goldman might consider collaborating with its rival JPM, as well as Facebook, on future digital asset initiatives.
• McDermott said he plans to significantly expand Goldman's digital asset team, including doubling headcount in both Asia and Europe.

See also: Goldman Sachs: Cryptocurrencies ‘Are Not an Asset Class’