Goldman Sachs Flags Tokenization And Prediction Markets As Its Next Crypto Frontiers

Goldman Sachs CEO David Solomon says the bank now sees three clear growth themes in digital assets: crypto infrastructure, asset tokenization and regulated prediction markets. On the firm’s fourth quarter earnings call he told investors that Goldman is spending “a lot of time” studying how tokenized assets and CFTC supervised prediction markets could plug into its trading and advisory businesses, including work already done by its digital assets team on blockchain based settlement and structured products.  

According to Solomon, the focus is not on launching a flashy retail token but on using blockchain rails to modernize existing businesses. That includes exploring tokenized versions of traditional securities and deposits, where on chain settlement could speed up funding and free capital, as well as stablecoin based payment flows. The bank has also held talks with at least two prediction market platforms to understand how event contracts might fit into a regulated derivatives framework, with an eye on CFTC rulebooks and institutional risk controls.  

Solomon stressed that Goldman is thinking in years rather than quarters. He framed tokenization and prediction markets as a gradual build that depends on clearer regulation and client demand instead of a quick leap into untested territory. That tone echoes his earlier comments that the next wave of institutional crypto use will be driven by regulation and real world use cases beyond speculative trading, such as tokenized funds, collateral and cross border payments.  

The strategy lines up with a broader Wall Street pivot. The New York Stock Exchange, for example, is developing a tokenized securities platform that aims to offer around the clock trading and on chain settlement for stocks and ETFs while preserving existing shareholder rights.   Research from other market heavyweights points to the same themes: more on chain representations of traditional assets and growing interest in regulated prediction markets as data rich venues where institutions can express macro views.  

For the crypto industry, Goldman’s message is that the bank is not chasing every new token narrative, but it does expect tokenization and compliant prediction markets to become significant parts of future market structure. If one of the largest investment banks builds services around those rails, that could accelerate the shift in digital assets from a retail dominated, speculative arena toward something that looks more like a programmable extension of traditional finance.