Wall Street giant Goldman Sachs, once lukewarm on crypto, has surprised the financial world with its newfound commitment to Bitcoin after disclosing an impressive $710 million in BTC holdings through several exchange-traded funds.
The substantial position reflects a significant increase in the banking firm’s exposure to cryptocurrency, which could be key to its continued adoption in the traditional financial space.
Breakdown of Goldman Sachs’ BTC ETF Investments
In a previous disclosure in August, Goldman’s BTC-related ETF holdings were notably smaller, with about $252 million in BlackRock’s IBIT fund and $33.2 million in Grayscale’s GBTC being the two largest.
However, the company’s latest filing, deposited on November 14, shows a dramatic increase. Its IBIT stake has grown 83% to $461 million, while its GBTC position went up 116% to $71.8 million.
Other investments include $95.5 million in the Fidelity Wise Origin Bitcoin Fund (FBTC) and $22.5 million in Bitwise’s BITB, representing a respective 13% and 156% increase in the stakes.
On the other hand, the bank’s allocation of 940,443 shares in BTCO, a joint spot Bitcoin ETF between Galaxy Digital and Invesco, is still the same as it was in August. This stash is worth $59.7 million, bringing the value of the institution’s entire crypto holding to about $710 million.
The revelation comes at a time when the regulatory landscape in the United States is easing, especially with the election of pro-crypto Donald Trump to the presidency. Furthermore, Congress now boasts more than 260 lawmakers with a crypto-friendly stance.
With ETFs providing a more secure vehicle for institutional investments in crypto, analysts believe they could spark wider adoption as more mainstream players begin exploring opportunities in the industry.
Renewed Interest Amid Growing Institutional Adoption
Goldman’s latest 13F filing represents a stark shift from its previous stance on digital assets. In the past, several of the bank’s top executives expressed varying degrees of skepticism regarding the asset class.
For instance, in April, Sharmin Mossavar-Rahmani, the firm’s Chief Investment Officer for Wealth Management, dismissed Bitcoin as a volatile asset that was unsuitable for long-term investment. Lately, however, the company has taken a more open approach, with CEO David Solomon admitting that BTC could serve as a potential store of value.
These holdings are not isolated developments. Prominent endowment manager, the Teachers Insurance and Annuity Association of America (TIAA), also previously known for its conservative approach, similarly disclosed a modest $51,921 position in FBTC. While relatively small, the allocation signals a growing acceptance of crypto, especially Bitcoin, within traditionally risk-averse segments.
