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Ruholamin Haqshanas
Ruholamin Haqshanas
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Why Trust Cryptonews
Investment giant Goldman Sachs has dramatically increased its exposure to cryptocurrency exchange-traded funds (ETFs), boosting its Ether ETF holdings by 2,000% in Q4 2024.
The firm has also raised its Bitcoin ETF stake to over $1.5 billion, according to a February 11 Form 13F filing with the Securities and Exchange Commission (SEC).
Per the filing, Goldman increased its Ether ETF investments from $22 million to $476 million.
Goldman Sachs Splits Ether ETF Holdings Between BlackRock, Fidelity, and Grayscale
Goldman’s holdings are divided almost equally between BlackRock’s iShares Ethereum Trust (ETHA) and the Fidelity Ethereum Fund (FETH), with an additional $6.3 million allocated to the Grayscale Ethereum Trust ETF (ETHE).
At the same time, the bank more than doubled its Bitcoin ETF holdings, increasing them by 114% to $1.52 billion.
This includes $1.28 billion worth of shares in BlackRock’s iShares Bitcoin Trust (IBIT)—a 177% jump from Q3—and $288 million in Fidelity’s Wise Origin Bitcoin Fund (FBTC).
Goldman also holds $3.6 million in the Grayscale Bitcoin Trust (GBTC).
The sharp rise in Goldman’s crypto ETF holdings coincides with significant price increases in Bitcoin and Ether.
Bitcoin (BTC) surged by 41%, while Ether (ETH) gained 26.3% between the start and end of Q4 2024, according to CoinGecko data.
Notably, Goldman offloaded its positions in ETFs from Bitwise, WisdomTree, Invesco-Galaxy, and ARK-21Shares, signaling a shift toward larger, more established funds such as BlackRock and Fidelity.
Goldman first entered the spot crypto ETF market in Q2 2024, purchasing $418 million worth of Bitcoin ETFs.
Its latest move underscores the growing acceptance of cryptocurrency on Wall Street, supported by an increasingly favorable regulatory environment.
Despite its expanding exposure, Goldman has historically been critical of Bitcoin and crypto as an asset class.
In 2020, the bank dismissed cryptocurrency as a viable investment, stating that it was “not a suitable asset class” for its clients.
In April 2024, Goldman’s Private Wealth Management CIO Sharmin Mossavar-Rahmani reinforced this stance, comparing the crypto boom to the 17th-century tulip mania and stating, “We’re not believers in crypto.”
Goldman Eyes Its Own Crypto Trading Platform
Despite past skepticism, Goldman appears to be embracing blockchain and digital assets.
In November 2024, Bloomberg reported that Goldman Sachs is considering launching its own crypto platform, allowing institutional partners to trade financial instruments using blockchain technology.
Last month, Goldman Sachs CEO David Solomon believes the US dollar will remain unmatched by Bitcoin.
Speaking with CNBC’s Andrew Ross Sorkin at Davos, Solomon described Bitcoin as a speculative asset.
However, he stated that it cannot surpass the dollar, which he indicated as the dominant global reserve currency.
“At the end of the day, I’m a big believer in the US dollar,” the CEO said Wednesday. “Bitcoin is a speculative asset, an interesting speculative asset. I don’t think there’s a lot more to ask about this, though.”
“I do not think Bitcoin is a threat to the US dollar,” he added.
