In brief

  • Goldman Sachs is aiming to offer Bitcoin and other digital assets to its clients, per a CNBC report.
  • The bank is reportedly aiming for the second quarter of this year to offer these options.

Goldman Sachs is reportedly close to offering its first investment offerings for Bitcoin and other digital assets to clients of its private wealth management group, per CNBC.

The banking giant has been reported as aiming to offer these options in the second quarter of this year.

According to Mary Rich, global head of digital assets for the bank's private wealth management division, Goldman Sachs is looking to offer a "full spectrum" of investments across the emerging asset class, "whether that's through the physical Bitcoin, derivatives or traditional investment vehicles."

What's more, Rich said that Goldman Sachs' clients have seen the growth of the emerging class, and are eager to get involved. Some of these clients "feel like we're sitting at the dawn of a new Internet in some ways and are looking for ways to participate in this space," she said.

Part of this pivot is fuelled by the macro-economic environment the world has experienced over the last year, on account of the ongoing COVID-19 pandemic. "There's a contingent of clients who are looking to this asset as a hedge against inflation, and the macro backdrop over the past year has certainly played into that," Rich added.

Growing institutional attention

With Goldman Sachs' announcement, the bank will join Morgan Stanley—another global giant in the world of finance—in offering exposure to digital assets.

Earlier this month, Morgan Stanley announced that it will offer investors access to Bitcoin funds—but clients will need to meet a $2 million threshold to get involved.

Goldman Sachs is the latest in a long line of institutions and massive companies that have turned their attentions to emerging digital assets. Last month, Tesla invested a whopping $1.5 billion into Bitcoin, and business intelligence firm MicroStrategy has been steadily investing—now to the point of billions—into Bitcoin since last summer.

"We're still in the very nascent stages of this ecosystem' no one knows exactly how it will evolve or what shape it will be," Rich said, adding, "But I think it's fairly safe to expect it will be part of our future."

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