Goldman Sachs has recognized cryptocurrencies as part of an asset class

One of the world’s largest investment banks, Goldman Sachs, has finally admitted that cryptocurrencies are part of an asset class.

Economist Alex Kruger posted screenshots of the bank’s new report on Twitter.

The bank’s experts collected information from several companies related to cryptocurrencies: Grayscale Investments, Galaxy Digital, Chainalysis, Global FX and others. In addition, they collected the opinions of critics of the crypto market.

According to experts, the capitalization of Bitcoin is very high, XRP is best suited for the real-time calculations, and the Ethereum platform will be convenient for smart contracts.

Goldman Sachs believes it is better to use BNB for practical applications. And Polkadot has become a blockchain platform with the ability to interact with different chains, according to report.

To confirm their statements, the bank’s analysts cited a chart of the price of bitcoin from 2013. It shows that the digital gold has always recovered to new highs, despite the rate jumps.

The founder of the crypto bank Galaxy Digital, Mike Novogratz, believes that the attractiveness of Bitcoin is also confirmed by the influx of institutional investors.

“The world has cast its vote by recognizing bitcoin as a good storage of value,” the investor said.

In his turn, the head of the asset management company Grayscale Investments, Michael Sonnenshine, calls the limited release of the crypto “a means of hedging inflation and currency depreciation.”

However, there were also those who questioned the readiness of the mass of financial institutions to be exposed to the risk of price volatility in the cryptocurrency market. Nouriel Roubini, professor of economics at New York University, was one of such critics.

“Anything that has no profitability, practical value or connection to fundamental economic factors cannot be considered a storage of value or an asset in principle,” says Roubini.

Economist Alex Kruger, who posted the bank’s financial report on Twitter, says it will be published on the Goldman Sachs website in the next few days.
“If I read that report and were a nocoiner, I’d go look at the charts, recognize this as a great entry point, and go shopping. Granted, I’m not a dinosaur,” Kruger wrote.

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