2017.12.0722:02:00UTC+00Goldman Sachs Plans to Clear Bitcoin Futures

Goldman Sachs Group Inc. is planning to clear bitcoin futures for some clients when they go live later this month, according to a person knowledgeable of the company's plans.

Goldman, which helps clients buy and sell futures contracts, will play an agency capacity role and will not become a market-maker or build inventory in derivatives, according to a source. The cited person added that the decision to clear trades will be made on a case-by-case basis.

Tiffany Galvin, a spokesperson for the bank, said that the bank is assessing the specifications and risk attributes for bitcoin futures contracts as part of their standard due diligence process given that the digital currency is a new product.

Sources said that Bank of America Corp. and Citigroup Inc,. will not immediately offer services to clear the products when they begin trading. The Wall Street Journal reported the lenders' decision earlier Thursday.

The banks' decision comes days after CBOE Global Markets Inc. starts trading bitcoin futures on December 10. Meanwhile, CME Group Inc. will also launch a competing product on December 18. A source said as of the moment, BofA is not planning to engage when CME starts offering trading.