Nikolas Sargeant
Goldman Sachs has significantly increased its investments in Bitcoin exchange-traded funds (ETFs), raising its total holdings to $1.5 billion by the end of Q4 2024. According to the latest 13F filing with the U.S. Securities and Exchange Commission, Goldman Sachs owned $1.27 billion, or 24.07 million shares, of BlackRock’s iShares Bitcoin Trust ETF (IBIT) as of December 31, 2024. This marks an impressive 88% increase in shares compared to the previous quarter, signaling the bank's growing confidence in Bitcoin-related assets.
In addition to its investment in BlackRock’s Bitcoin ETF, Goldman Sachs also significantly boosted its position in the Fidelity Wise Origin Bitcoin Fund (FBTC), increasing its holdings to $288 million (3.5 million shares), a 105% rise from the previous period. These moves indicate Goldman Sachs' strategy of diversifying its Bitcoin ETF portfolio, even as it reported smaller positions in other Bitcoin ETFs, some of which were reduced or closed altogether.
Crypto ETFs Gaining Steam
The filings, which are made quarterly by institutional investment managers with over $100 million in assets, offer insight into the investment strategies of major financial players. The significant increase in Goldman Sachs' Bitcoin ETF investments highlights the firm’s commitment to gaining exposure to the cryptocurrency market, which has been gaining traction among institutional investors.
Other cryptocurrencies are also gaining approval as securities, allowing for ETFs. The SEC fast-tracked the approval of a Bitcoin-Ethereum ETF, and Cardano ETFs and Solano ETFs have also been proposed.
Goldman Sachs' increased stake in Bitcoin ETFs aligns with broader trends in the financial world, where more traditional financial institutions are positioning themselves to benefit from the growing acceptance of crypto ETFs, including Japan’s FSA considering enabling them. The boost in ETF holdings further solidifies Goldman Sachs’ role as a key player in bringing Bitcoin into mainstream financial portfolios.
