David Solomon says Goldman Sachs is looking into using blockchain to digitize assets

David Solomon says Goldman Sachs is looking into using blockchain to digitize assets

June 28, 2019
  • The bank's CEO told French newspaper Les Echos Friday that Goldman is conducting "extensive research on the concept of tokenization" and he believes the future of payment systems is bound to live on blockchain.

David Solomon said Goldman Sachs "absolutely" wants to get on the blockchain bandwagon.

The bank's CEO told French newspaper Les Echos Friday that Goldman is conducting "extensive research on tokenization" and he believes the future of payments systems is bound to live on blockchain.

Solomon said it was too early to tell which digital coin or platform will ultimately be the winner.

The company believes that big financial players will seek to digitally tokenize their operations to reduce costs and serve clients better, according to a person with knowledge of Goldman's position. 

J.P. Morgan said in February it has created the "JPM Coin," a digital token that will be used to instantly settle transactions between clients of its wholesale payments business. Facebook last week also unveiled a plan to create a new digital currency called Libra.

Solomon said regulators across the world are considering how blockchain will work and are very attentive to the flux of payments.

"There will be an evolution in regulation, that's certain," he said.

Goldman spokesman Patrick Lenihan declined to comment beyond Solomon's remarks.

Here is the full report.

— CNBC's Matt Clinch and Hugh Son contributed reporting

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