Representatives of Goldman Sachs record a growing interest in financial instruments based on cryptocurrencies from institutional clients.
Max Minton, Goldman Sachs’ Asia Pacific Head of Digital Assets, said in an interview for Bloomberg that many of the company’s largest clients are actively interested in the cryptocurrency sector. The renewed interest from fund clients is due to the approval of spot Bitcoin ETFs in the U.S., which strengthened ties between digital assets and traditional markets.
Interest in cryptocurrencies comes mainly from existing Goldman Sachs clients. Hedge fund representatives show the most significant interest in crypto products. The company launched its crypto trading desk in 2021. Still, there’s no spot trading in cryptocurrencies. Only BTC and ETH options and futures are available to clients.
According to Minton, crypto derivatives are used by Goldman Sachs clients to capitalize on the high volatility of the crypto market and to make mid-term investments. BTC-based financial instruments are the most popular among the company’s clients.
In the future, Goldman Sachs plans to expand its range of institutional clients through fund managers, banks, and companies that specialize in operations with cryptocurrency assets. By the end of 2023, Goldman Sachs had a total of $2.8 trillion in assets under management.
In early 2023, Goldman Sachs launched GS DAP™, a platform for tokenizing traditional financial assets based on the Canton blockchain network. This came as part of the company’s digital empowerment strategy.
