Goldman Sachs & other Wall Street banks exploring Bitcoin-backed loans

Several top United States banks, including Goldman Sachs, are reportedly exploring using Bitcoin as collateral for offering loans to institutions.

Under the plan, the participating banks will not engage in cryptocurrency spot markets but will mainly focus on products such as futures and other synthetic crypto offerings, three people privy to the plan told CoinDesk.

According to the sources, the product could be realized in three to six months.

“We’ve probably spoken to half a dozen big banks about [bitcoin-backed loans]. Some of them are in the next three to six months category, and some are further out. What’s interesting is some of these banks will use their own balance sheet to make the loan. Others will syndicate this out,” said one of the sources.

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