Goldman Sachs will offer ethereum funds to its clients via Galaxy Digital and its institutional ETH fund as we can see further in today’s latest Ethereum news.
The reports emerged after the regulatory documents filed with the US SEC popped up. The SEC displayed that it listed Goldman Sachs as a beneficiary of the charges which are required to be made for letting clients have access to the Ethereum fund. In the strategy, Goldman Sachs will offer ethereum funds and it will get an introduction fee for referring the clients to Galaxy’s Ethereum fund according to the recent SEC filing.
Through minimal funding and an investment size of $250,000, the fund generated more than $50 million in gross sales for about 28 buyers. There is also ambiguity regarding flows which is related to Goldman Sachs considering the investment bank was not involved during the inception of the fund. Galaxy Digital Holdings LTD is a US-operated financial provider which was founded by Mike Novogratz. The company is responsible for providing liquidity to Goldman’s BTC future trade and this digital blockchain investment company has a similar arrangement with Morgan Stanley as well.
A year ago, Galaxy Digital announced that it will launch Ethereum funds which included this offering that we talk about today. CAIS Capital LLC is an independent wealth management company that was listed as a recipient of a placement fee which is basically a referral fee for the clients to get into Galaxy’s ETH Fund. CAIS also was involved in another Galaxy-backed ETH Fund with a filing reported a few days ago.
Goldman Sachs relaunched the trading desk in its Global Currencies and Emerging markets division after a gap of three years and its strategy with galaxy will give the investors exposure to Ethereum as a physical asset and not a derivative-based product like the futures contracts. Galaxy Digital continued to go thorugh strategic acquisitions like tie-ups with digital asset management firm Vision Hill Group a year ago. Galaxy also positioned itself to bring together financial companies and to facilitate direct crypto investments.
Banks are a regulated sector that cannot pump money into crypto instantly but when organized with Galaxy Digital, they manage to bridge the existing ap as mentioned above. Goldman Sachs also continued to show interest in the crypto field as it continues to evolve further. Roger Bartlett quit the organization back in February and joined coinbase.