Goldman Sachs plots crypto platform launch

Goldman Sachs is in talks to spin off its digital asset platform into a standalone company as cryptocurrency adoption grows in the US.

According to Bloomberg, Goldman Sachs has reached out to many market players as part of its plans to expand its blockchain infrastructure products to a larger clientele.

Mathew McDermott, the bank’s Global Head of Digital Assets, said in an interview that discussions with brokers are still in their early stages. McDermott added that Goldman Sachs’ timeline for executing its strategy ranges from 12 to 18 months.

Regulatory approvals and red tape could also impact the bank’s roadmap, McDermott noted.

Former Wirehouse has launched GS DAP, a private permissioned blockchain product designed to tokenize and manage assets in real-time.

Since its launch in 2023, the platform has been limited primarily to corporate customers and government-backed settlement trials. According to the Crypto.news report, the bank also plans to implement three additional tokenization projects by 2025.

While other asset managers such as BlackRock and Fidelity targeted retail users and crypto businesses, Goldman Sachs focused on institutional clients. The bank also owns over $710 million in spot Bitcoin (BTC) ETF shares.

Wall Street’s adoption of blockchain technology has accelerated due to changing regulatory conditions and evolving perspectives on the industry. Congress has moved towards digital asset policies, and US voters recently elected pro-Bitcoin candidate Donald Trump to the White House.