Goldman Sachs: From Crypto Skeptic to Bitcoin Believer! 😂💰

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In a twist of fate that could make even the most stoic poet chuckle, the once-derisive US investment bank Goldman Sachs has decided to embrace the digital currency revolution. Not with mere words, mind you, but with a wallet that speaks volumes! 💸

This financial titan, managing a staggering $3 trillion in client assets, has taken a leap into the abyss of Bitcoin (BTC) and Ether (ETH) exchange-traded funds (ETFs). In mere months, they’ve cranked up their ETH exposure by a jaw-dropping 2,000% and boosted their Bitcoin ETF holdings by 114%. Talk about a change of heart! 💔➡️❤️

Goldman’s about-face on digital assets echoes the wise words of a certain sage: “First they ignore you, then they laugh at you, then they fight you, then you win.” Well, it seems they’ve skipped straight to the winning part! 🏆

This week’s Crypto Biz newsletter dives into Goldman’s crypto capitulation, the frenzy of Japanese companies snatching up Bitcoin, and the meteoric rise of stablecoin adoption this year. Despite the crypto market’s current hiccups in February, institutional interest is clearly on the upswing. 📈

Goldman Sachs increases crypto exposure

According to regulatory filings with the US Securities and Exchange Commission, Goldman has splurged nearly $1.28 billion on iShares Bitcoin Trust (IBIT) in the fourth quarter of 2024, alongside a cool $288 million for the Fidelity Wise Origin Bitcoin Fund. And let’s not forget their $3.6 million stake in the Grayscale Bitcoin Trust (GBTC). Who knew they had such a taste for crypto? 🍰

In the same quarter, Goldman’s Ether ETF exposure skyrocketed from $22 million to $476 million through BlackRock’s iShares Ethereum Trust and the Fidelity Ethereum Fund. It’s like watching a financial soap opera unfold! 📺

The investment bank’s initial foray into crypto ETFs was in the second quarter of 2024, when they bought a staggering $418 billion worth of Bitcoin funds. Their buying spree in Q4 was likely spurred by the election of pro-crypto President Donald Trump, who has grand plans to turn America into the world’s blockchain capital. Who needs a magic wand when you have Bitcoin? 🪄

Metaplanet’s Bitcoin buy triggers a 4,800% stock surge

Meanwhile, Bitcoin treasurer Metaplanet has seen its stock price soar since adding BTC to its balance sheet. According to Bloomberg, the Tokyo-listed stock has skyrocketed by nearly 4,800% over the past year. It’s like a rollercoaster ride, but without the safety harness! 🎢

As of January 28, 2025, Metaplanet had acquired 1,762 BTC worth about $171 million. They plan to hold up to 21,000 BTC by the end of 2026, potentially making them the world’s second-largest Bitcoin treasurer after Michael Saylor’s Strategy. Their ambitious plan includes raising up to 116 billion yen, or $745 million, to finance more Bitcoin purchases. Talk about aiming for the stars! 🌟

Japanese gaming studio buys 1 billion yen worth of BTC

But wait, there’s more! Metaplanet isn’t the only Japanese company diving into Bitcoin. This week, the Tokyo-listed gaming studio Gumi announced a 1 billion yen allocation to BTC, which is about $6.6 million at today’s exchange rate. They plan to stake their newly acquired Bitcoin on Babylon, a digital asset staking protocol. Gumi is clearly leveling up in the blockchain game! 🎮

Circle’s USDC erases bear market losses

In the midst of this crypto renaissance, Circle’s USD Coin (USDC) has fully rebounded from its bear market lows in 2023. As of February 12, USDC’s market capitalization soared above $56.1 billion, more than double its $24.1 billion bottom in November 2023. It’s like watching a phoenix rise from the ashes! 🔥

2025-02-15 00:08