One of the largest investment banks Goldman Sachs will allow its clients better access to ETH funds through Galaxy Digital. This news comes after the multinational bank was named as a fee receiver in the latest SEC filing for promoting GD crypto investments to its clients on Tuesday.
Goldman Sachs has been exposing its clients to ETH investments through the crypto bank. However, its customers can deposit ETH directly on Galaxy’s Digital platform. This is per the new partnership deal entered by both parties.
Goldman Sachs Continues to Widen Access to Cryptocurrency Investments
The investment bank has been indulging in virtual currency investments for some time now directly and indirectly. Recently, the bank has been introducing its clients to Galaxy Digital for investments. Not only has this bolstered the relationship between the two entities but brought more profits.
The new SEC filing shows Galaxy Digital has made more than $50.5M in sales since its emergence, with each investor investing a minimum of $250k. However, it’s still not yet known the amount that Goldman makes from recommending Galaxy to its clients or the total amount brought in by its clients so far.
The latest move is one out of many initiated by Goldman in the crypto ecosystem since it ventured into the industry last year. The first time it made its mark in the sector was when it developed a digital currency trading desk to make trading more convenient.
Goldman Sachs Crypto Offerings So Far
Interestingly, it isn’t the first time the traditional bank has worked with GD or provided crypto services to its clients. Last June, it allowed its clients to trade BTC futures through Galaxy Digital, allowing them to use bitcoin PTF as a hedge. This marked the beginning of Goldman’s partnership with a cryptocurrency firm.
After Goldman established its crypto desk, it contacted GD to act as a liquidity provider to execute clients’ trades and safeguard assets for trading. In addition, Galaxy will come up with the right pricing to facilitate trading.
Last July, Goldman submitted an application to the SEC to provide an ETF based on crypto securities.
Goldman’s entry into the crypto industry and its digital asset operations have entirely depended on Galaxy because the bank can’t hold BTC directly. Goldman is a traditional investment bank, making it highly regulated like its counterparts. The bank could be sued for breaking financial protocols.
With GD, Goldman penetrates the crypto space and offer its products to users without restrictions. It’s still unknown if Goldman will partner with another crypto firm to broaden its service offerings.