PALM BEACH, Fla. — Goldman Sachs Chief Executive David Solomon says he owns “very little, but some” Bitcoin, even as he continues to keep a close eye on the asset as part of a broader interest in how technology is reshaping finance.
“I’m a Bitcoin watcher,” Solomon said Wednesday at the World Freedom Forum, still trying to understand Bitcoin’s direction.
Solomon noted that while Goldman Sachs has taken a cautious approach to digital assets, the firm’s leadership views cryptocurrencies as part of a longer-term shift in financial infrastructure.
He dismissed the idea that traditional banks and cryptocurrency companies are locked in a zero-sum struggle. “This is a system, this is our system,” he said. “We have to do it the right way… There will be disagreements and that’s OK.”
Solomon said large technology platforms are shaping the evolution of the market, and tokenization will play a central role.
“The evolution of these platforms…has had a clear impact,” he said. “Tokenization…I think that’s very important.”
While other banking giants such as JPMorgan Chase & Co. and Morgan Stanley have delved into the digital asset space, Goldman Sachs’ involvement has so far been limited. The main reason, according to Solomon, is regulation.
“Until 10 minutes ago, the regulatory structure was extremely prohibitive,” he joked, but said Goldman might reconsider as regulators begin to provide greater freedom for companies to “participate more” in the industry.
Read more: Goldman Sachs sees regulation driving next wave of institutional cryptocurrency adoption
“Must get things done”
Solomon criticized the economic impact of excessive regulation.
“When overregulation burdens the system, you start to extract capital,” he said. “That’s definitely what’s happened in the last five years.”
He stressed the need to take the right approach. “This has to be done thoughtfully and we have to do it right.”
Solomon previously said that the banking giant is stepping up research and internal discussions around cryptocurrency-related technologies, including tokenization and prediction markets.
Read more: Goldman Sachs ‘spending a lot of time’ on cryptocurrencies, prediction markets, CEO Solomon says