Key takeaways
- Goldman Sachs CEO David Solomon sees Bitcoin as a speculative asset, not a threat to the US dollar.
- Goldman Sachs explores blockchain technology applications but faces regulatory constraints in crypto involvement.
Goldman Sachs CEO David Solomon dismissed Bitcoin’s potential to challenge the US dollar’s dominance, describing it as “an interesting speculative asset.”
“At the end of the day, I’m a big believer in the US dollar. I think the US dollar is super important,” Solomon said said in a Wednesday interview with CNBC’s Squawk Box when asked about Bitcoin’s threat to the national currency.
“Bitcoin is an interesting speculative asset. I don’t think there are many words to say,” the Goldman executive added. “I don’t see Bitcoin as a threat to the US dollar.”
Solomon’s comments come at a time when the crypto community is anxious to see if President Donald Trump will follow through on his promise to establish a national Bitcoin repository, a key pledge of his re-election campaign.
Asked whether Goldman Sachs’ approach to crypto assets will “fundamentally change” under the Trump administration, Solomon said the bank has already been fundamentally engaged and exploring blockchain technology’s potential applications in finance.
“The underlying technology is something we have spent a lot of time on. It is something that we are using, testing to create less frictional financial systems, says Solomon.
The CEO noted regulatory limitations on the bank’s crypto involvement. “Right now, from a regulatory perspective, we can’t own, we can’t principle, we can’t be involved in Bitcoin,” Solomon said, indicating potential changes if the rules change.
Speaks in a Reuters Next Conference last month, Solomon said that Goldman Sachs’ current ability to participate in spot trading for Bitcoin and Ethereum is limited due to regulatory restrictions.
If the regulatory environment evolves, the bank would evaluate the possibility of engaging in market making for these assets, he said.
Goldman Sachs currently holds 461 million dollars in BlackRock’s iShares Bitcoin Trust, according to a recent filing. The bank also has shares in funds managed by Fidelity, Grayscale, Invesco/Galaxy, WisdomTree and Ark/21Shares.
