Strategic De-Risking in Digital Assets
In a significant move reflecting shifting sentiment within institutional crypto markets, Goldman Sachs executed a comprehensive de-risking of its digital asset positions during the fourth quarter of 2025. According to a 13F filing lodged with the US Securities and Exchange Commission on 10 February 2026, the bank reduced its Bitcoin ETF holdings by 39.4 per cent, bringing the total down to 21.2 million shares. A similar retraction was observed in its Ethereum exposure, where holdings were trimmed by 27.2 per cent to 40.7 million shares.
This defensive pivot coincides with a volatile period for Bitcoin, which saw its value tumble from approximately $126,000 to $88,000 in the final quarter of 2025—a drop of 30 per cent. While the dollar value of the exposure is significant, the reduction in share volume paints a clearer picture of the bank’s reaction to the market correction. As Goldman Sachs Asset Management primarily stewards these positions on behalf of clients rather than for the bank’s proprietary trading desk, the move highlights a growing risk aversion among institutional investors following a quarterly decline exceeding 20 per cent. currently, the bank’s total crypto exposure stands at $2.36 billion, representing a mere 0.33 per cent of its broader investment portfolio.
Hedging and Arbitrage Tactics
The filing reveals that Goldman’s strategy extends beyond simple divestment. As of early 2026, the bank held put options valued at over $600 million, contrasting sharply with just $157 million in call options. This disparity suggests the utilisation of a cash-and-carry trade structure, where long ETF positions are hedged with derivatives to secure arbitrage returns while minimising exposure to price volatility. Consequently, these positions appear to be structured financial products rather than a directional wager on rising prices.
Diversification into Altcoins
Despite the broader pullback, Goldman Sachs has, for the first time, diversified into alternative cryptocurrencies, specifically XRP and Solana. The bank allocated a total of $261 million across ten different ETF products. Investment in XRP ETFs totalled $153 million, distributed with remarkable evenness across four providers: Bitwise, Franklin Templeton, Grayscale, and 21Shares.
Simultaneously, the bank invested $108 million into Solana through six different products. The largest single allocation was $45 million into the Bitwise Solana Staking ETF, followed by the Grayscale Solana Trust ETF at $35.7 million, with smaller positions held in funds from Fidelity, VanEck, 21Shares, and Franklin Templeton. While these new entrants comprise only around 11 per cent of the total crypto portfolio—leaving Bitcoin ($1.06bn) and Ethereum ($1bn) as the dominant assets—the systematic entry across multiple funds signals a calculated allocation strategy rather than a speculative experiment.
Nucleus Breaks £8bn Barrier
While volatility shapes the US crypto sector, the UK platform market continues to demonstrate steady accumulation. Nucleus Financial Group, the Edinburgh-based advisor-owned wrap platform, has confirmed that its assets under administration (AUA) breached the £8 billion threshold on 28 December.
This achievement marks a significant robust period of growth for the firm, which reported £6.78 billion in AUA at its year-end on 31 March 2014. The company noted that surpassing the £8 billion mark follows “an intense period of record inflows,” arriving exactly eight years after the platform’s launch just prior to Christmas 2006.
Platform Growth and Resilience
Nucleus has cemented its position within the domestic market, now providing investment services to 450 adviser firms across the UK. Access to the platform has expanded to over 6,000 users, who utilise the system to manage the financial planning requirements of more than 65,000 clients.
Reflecting on the firm’s trajectory, David Ferguson, founder and chief executive of Nucleus, acknowledged the complexities of the recent operational landscape. “2014 was challenging for us,” Ferguson stated. “But having attracted £2 billion of inflows, hit £8 billion in AUA, completed a major technology upgrade, strengthened the senior management team and achieved record financial results, it was also a year of notable progress which helps fuel our excitement for the future.”