Photo credit: Daniel Acker/Bloomberg

Goldman Sachs is preparing to launch three new tokenization projects later this year as institutional demand for crypto and blockchain-related products increases among its client base, Fortune reported on July 10.

Speaking with the banking giant’s digital assets global head Mathew McDermott, Fortune noted that Goldman Sachs plans to create marketplaces for tokenized real-world assets (RWAs) and “fund complex” in the United States and European debt markets.

The group will also target financial institutions with its planned products, which will utilize permissioned blockchains.

McDermott reportedly highlighted the growing interest in crypto, citing the recent surge in exchange-traded funds (ETFs) for digital assets as a key driver. He emphasized that the new RWA marketplace would stand out by offering faster execution and a wider range of collateral options.

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The 11 spot Bitcoin ETFs in the US have raked in $1.15 billion as of July 12 since their January debut, data from SoSoValue shows.

Meanwhile, the tokenization of RWAs is gaining traction. In a June report, McKinsey suggests the market for tokenized assets could reach $4 trillion by 2030 under optimistic conditions. The Boston Consulting Group, on the other hand, projects the value to hit $16 trillion by the same period.

McDermott suggested that Goldman Sachs’s involvement in the crypto market could broaden if the upcoming presidential election leads to a more favorable regulatory environment in the US. He mentioned potential areas of interest for the firm, such as execution and sub-custody services, pending regulatory approval.

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