A report indicates that big tech giant Apple was working on a stock trading app for its devices along with banking institution Goldman Sachs. Across social media platforms, rumors began surfacing about a possible listing of Bitcoin (BTC) and other cryptocurrencies should the platform ever come to light.
Apple Joins Forces With Goldman Sachs, But Project Is Stillborn?
Mainstream media outlet CNBC revealed the plans to launch the stock trading app. The big tech giant planned to compete with Robinhood, Square, and other similar companies, all of which offered BTC and cryptocurrency for its clients.
The report indicates that the bull run across the stock market in 2020 drove the partners to develop this app. During the COVID-19 pandemic, when the price of BTC rose to an all-time high of $69,000, cryptocurrencies, “meme stocks,” and other assets were blooming.
The tech company aimed to capitalize on this bull run and the euphoria experienced by traders during the high liquidity financial environment. However, the project was stalled due to the significant decline experienced by the sector and echoed in others, such as the crypto market.
CNBC claims that a potential use case for the app would have allowed users to hold shares in the tech giant. The project was stopped because of the drop in the financial world and because the team behind the project “feared user backlash.”
The team behind the project was concerned about people losing money on the app as Apple’s stock and other equities trended to the downside in a persistent bear market. As mentioned, the project is currently on hold, with no immediate plans for a launch.
A source close to the project told CNBC that the user interface and infrastructure are allegedly ready. According to the report, Apple has increased its financial services arsenal since 2019. At that time, the tech giant launched a credit card, a “buy now, pay later” loan feature, and others. The company claims that the adoption of these products has been growing.
In addition to the companies mentioned above, Apple would have to face the platforms of other financial giants, such as JP Morgan and Morgan Stanley. If the company decides to work on the app and launch it, it will need to compete with these names and many others, including PayPal and X.
As the report highlighted, these companies already have or are working on cryptocurrency-based products, which would force the Tim Cook-led company to offer similar services potentially.
As of this writing, Bitcoin trades at $27,100 with sideways movement on the 24-hour chart.
Cover image from Unsplash, chart from Tradingview