Goldman Sachs to spin off its digital assets platform
American multinational financial services company Goldman Sachs has revealed plans to spin off blockchain-based technology platform GS DAP from its Digital Asset business.
The company has also announced a collaboration with strategic industry partners to underscore a shared commitment to and vision for using distributed ledger technology across financial markets.
The award-winning GS DAP technology platform, which leverages solutions developed by Digital Asset, is designed to meet the sophisticated needs of market participants in digital capital markets.
Broader vision
Goldman Sachs global head of Digital Assets Mathew McDermott said the proposed spin-off of GS DAP advances a broader vision to create a distributed ecosystem that allows participants to interoperate seamlessly, efficiently and at scale.
He stated that establishing a new, standalone company independent of Goldman Sachs and its Digital Asset business would help provide the future runway for digital financial services by ensuring a fit-for-purpose, long-term solution.
“We view permissioned distributed technologies as the next structural change to financial markets and are already demonstrating the meaningfulness of the technology’s perceived benefits,” Mr McDermott said.
“Delivering a distributed technology solution to a wide cross-section of financial market participants has the potential to redefine market connectivity, infrastructure composability, and deliver a new suite of commercial opportunities for the buy- and sell-side.”
“We view this as an important next step for our industry as we continue to build out our digital asset offerings for our clients.”
Multi-jurisdictional solutions
Mr McDermott said Goldman Sachs would continue to scale its Digital Asset business and enhance the platform’s technology capabilities, while GS DAP would continue delivering multi-jurisdictional solutions across a spectrum of asset classes and shaping the future of interoperability infrastructure.
Goldman Sachs also unveiled that Tradeweb, its first strategic partner for the platform, will work with it to incorporate its trading and liquidity capabilities across the fixed income spectrum in an effort to bring new commercial use cases to GS DAP.
“We are thrilled to embark on this journey with Goldman Sachs,” Tradeweb chief product officer Chris Bruner said.
“Our goal is to create and utilise a solution that ushers in a new wave of access, liquidity and interoperability for the digital financial markets, introducing new capabilities to the marketplace that advance market structure and connectivity.”