Goldman Sachs Executives Are Leaving Wall Street for Other Crypto Opportunities

10. Apr 2018 Posted by Akolkar B on News

Although the cryptocurrency space has received a lot of criticism from the central banks in the past and continue to do so, it has not failed in swaying high-profile bankers from Wall Street. The latest reports show that Richard Kim a high-profile Goldman Sachs executive is all set to leave the banking giant for an offer from Mike Novogratz and will be joining as a CEO at his merchant bank, Galaxy Digital.

Rickard Kim was currently serving as an executive director at the bank’s London office. However, Kim is not the first one from Goldman to join Galaxy Digital. Luka Jankovic, a former Goldman Sachs hedge-fund analyst is already said to have joined the merchant bank in the past.

Bloomberg, who first reported about Kim’s exit also states that now there are a handful of ex-Goldman executives who are now working in the digital currency space. Last year, a former Goldman vice president Matt Goetz founded the BlockTower Capital which is now a leading cryptocurrency firm. This year in January, the same BlockTower is said to have recruited another Goldman executive Michael Bucella for the role of business development.

Two years back in 2016, James Radecki left the Wall Street banking giant to serve as the head of business development at Cumberland Mining, who is currently one of the biggest traders in the digital currency space.

Although the Galaxy Digital has declined to comment on the recent hiring of Kim, the New Yorker quoted a Goldman Sachs alumni saying that the firm has “hired Goldman’s best guy in blockchain”.

Mike Novogratz, 53, is a very popular figure and has served as a hedge fudge manager with Fortress Investment Group LLC till 2015. Previously, Novogratz is also said to have spent a decade working at Goldman Sachs.

Novogratz has been an early proponent and supporter of Bitcoin. Last year while talking to CNBC he said that Bitcoin could multiply four times from its price then ($10000) by the end of 2018. "Bitcoin could be at $40,000 at the end of 2018. It easily could. Ethereum, which I think just touched $500 or is getting close, could be triple where it is as well.”

Earlier this year, Novogratz announced the plans for its cryptocurrency merchant bank and has managed to raise $250 million for the same. This New York-based firms now plans to trade in cryptos while making principal investments and managing assets for its clients. The firm also aims to play the role of an advisor for several blockchain-related ventures.