Historic Step from the Second Largest Bank: Accepted Bitcoin and Altcoins for the First Time! - Coin Newsletter

robot
Abstract generation in progress

For the first time in its history, Goldman Sachs, the world's second-largest investment bank, announced in its annual shareholder letter that it recognizes the growing importance of cryptocurrencies in financial markets.

In its 2024 shareholder letter, Goldman Sachs highlighted the rise of the cryptocurrency industry in the financial world. The bank emphasized that the increase in electronic commerce and new technologies such as ledger technology – DLT(, )distributed distributed ledger technology, have increased competition in the financial sector. Goldman Sachs noted that these technologies are still in the early stages and pose risks such as cyberattacks.

The bank has changed its stance on cryptocurrencies in recent years. Goldman Sachs, which made no mention of the words "cryptocurrency" or "blockchain" in its shareholder letters in 2017, acknowledged that the adoption of Bitcoin (BTC)** and other digital assets is now playing a decisive role in market competition.

Giant bank's crypto investments attract attention

Goldman Sachs CEO David Solomon says that he finds the blockchain technology behind Bitcoin "very intriguing", while continuing to comment that Bitcoin is a "speculative investment". But the bank's investments show that its approach to this issue has become clearer.

Goldman Sachs increased its positions in BlackRock IBIT and Fidelity FBTC, the world's largest Bitcoin ETFs, in the last quarter of 2024. At the end of the year, the bank held a total of $1.27 billion in shares in BlackRock's IBIT fund and $288 million in Fidelity's FBTC fund. This represents an increase of 88% and 105%** compared to the previous quarter, respectively.

Goldman Sachs stated that it may consider further expanding its investments in Bitcoin and Ethereum (ETH)** if the regulatory environment in the US becomes clearer in the future. However, the bank also made it clear that cryptocurrencies are not strong enough to threaten the dollar's dominance.

View Original
The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
  • Reward
  • Comment
  • Share
Comment
0/400
No comments