Goldman Sachs is expanding its crypto options offerings beyond Bitcoin.
The investment management giant has said that it plans to offer over-the-counter Ethereum options trading in response to growing client demand.
Andrei Kazantsev, Goldman’s global head of crypto trading, said that the firm would launch cash-settled Ethereum options “in due course” in a webinar call to clients.
Weeks earlier, Goldman traded its first over-the-counter Bitcoin option with Galaxy Digital in a first-time move to offer clients direct exposure to the market.
Options are derivatives that are popularly used to bet on market volatility.
Although Goldman is yet to offer spot crypto trading, the bank has been keeping a close eye on the digital assets space since it exploded last year.
Amid the boom, it launched a dedicated trading desk and announced a suite of Bitcoin products, joining the likes of BNY Mellon and Ruffer to dabble in the world’s biggest crypto asset.
While Bitcoin still takes the crypto spotlight, institutional heavyweights like Goldman have also become more interested in Ethereum in recent months.
Market demand for Ethereum has grown partly because it’s seeing rapid supply depletion thanks to last year’s EIP-1559 update and is soon due to ship “the Merge” to Proof-of-Stake, which are both seen as significant upgrades among Ethereum enthusiasts.
The Merge will see Ethereum ditch miners in favor of validators to achieve consensus, which has encouraged investors to accumulate Ethereum to capture staking yield.
The move away from Proof-of-Work also means Ethereum will become more energy-efficient, while Bitcoin will still rely on energy-intensive mining.
