Goldman Sachs (NYSE:GS) is getting back into cryptocurrencies.
The New York-based investment bank is restarting its trading desk for cryptocurrencies amid a surge in the value of Bitcoin, according to multiple media reports.
The Wall Street firm will begin offering Bitcoin futures among other products by mid-March after halting a similar effort started in 2018.
Cryptocurrencies were once shunned at elite investment banks such as Goldman Sachs. However, they are now gaining credibility as other banks and financial institutions outline their efforts. BNY Mellon (NYSE:BK) said in mid-February that it will hold, transfer and issue digital currencies, a step it called the first by a global bank to provide clients with such services.
Credit card issuer Mastercard (NYSE:MA) has also said it will allow cardholders to transact in cryptocurrencies on its network. The firm is "actively engaging" with central banks around the world on their plans to launch new digital currencies, the company said last month.
Goldman’s relaunch of its cryptocurrency trading desk comes as digital assets have skyrocketed in value over the last several months. Bitcoin has surged more than fivefold in the past year, with investors such as Paul Tudor Jones and Elon Musk piling in. Musk’s electric car company, Tesla (NASDAQ:TSLA), announced a $1.5-billion U.S. purchase of Bitcoin in February.
Two Bitcoin exchange-traded funds (ETFs) began trading in Canada last month, with the Purpose Bitcoin ETF selling $400 million U.S. of shares in its first two days on the Toronto Stock Exchange.
