Benzinga | Nov 4, 2021 11:56AM EDT

Goldman Sachs To Build Blockchain Interoperable Asset Tokenization Platform

Wall Street banking giant Goldman Sachs Group Inc (NYSE:GS) is doubling down on building blockchain-based infrastructure.

What Happened: Goldman Sachs has partnered with blockchain solutions firm Digital Asset to develop its own end-to-end tokenized asset infrastructure.

Goldman will use Digital Assets' "Daml" technology to build a platform that will support the "digital life cycle across multiple asset classes on permissioned and public blockchains," according to a press release.

Mathew McDermott, the managing director and global head of digital assets at Goldman Sachs, said interoperability was deemed a key factor when expanding the bank's tokenization efforts.

"We needed solutions that could rapidly capture the full complexity and diversity of assets at the heart of our business for both digitally native or tokenized traditional assets, and be interoperable across multiple blockchains," he said.

"It is critical to create distributed networks and digitization workflows across financial institutions and clients, interconnecting traditional and new market infrastructure."

What Else: Goldman has been advancing its efforts in the crypto space with a renewed focus in 2021. In May, the investment bank restarted its crypto trading desk offering Bitcoin (CRYPTO: BTC) derivatives. The following month, Goldman added Ethereum (CRYPTO: ETH) futures and options to its offerings.

A recent report from Goldman's Managing Director of Global Markets Bernhard Rzymelka detailed how Ethereum could surge as high as $8,000 in the next two months.

GS Price Action: Goldman shares were down 2.58% midday Thursday at $406.86.

Photo by Marc-Olivier Jodoin on Unsplash.