Goldman Sachs CEO David Solomon says tokenisation is reshaping markets

Key points

• Solomon said Goldman has tokenised bonds, several money market funds and real estate for certain clients.
• Goldman took part in the July launch of the DTCC's tokenisation service and is weighing applications that scale.
• The bank publicly backed the CLARITY legislation despite reservations, Solomon said on the call.

Goldman Sachs CEO David Solomon says tokenisation is an important trend across asset classes that could widen the bank's market rather than threaten it, Bitcoin.com News reports. Speaking on the bank's third-quarter earnings call on 13 Oct, he said new market structures can bring fresh products, clients and distribution.

Solomon pointed to Goldman's years of investment in digital asset companies and market infrastructure, along with its GS DAP platform. He said the bank has tokenised bonds, several money market funds and real estate for certain clients, and it joined the July launch of the Depository Trust & Clearing Corp.'s tokenisation service. It is now assessing applications that can work at greater scale, with the aim of cutting costs, automating processes and improving liquidity. He cautioned that blockchain-based activity remains relatively small.

The remarks came after Evercore ISI analyst Glenn Schorr asked whether DeFi, prediction markets and automated trading could erode Goldman's markets business.

On regulation, Solomon said Goldman publicly supported the CLARITY legislation despite reservations, and that agencies are already working on clearer rules. The call also reported $18.7bn in quarterly net revenue, with equities revenue up 72% year on year to $6.4bn.

Read the full story on Bitcoin.com News →