Goldman Sachs CEO declares Bitcoin not a threat to US dollar

Goldman Sachs CEO David Solomon has stated that Bitcoin (CRYPTO:BTC) does not pose a threat to the US dollar, describing it as an “interesting speculative asset.”

In a January 22 interview with CNBC at the World Economic Forum in Davos, Switzerland, Solomon emphasised his strong belief in the US dollar's importance.

“I do not think Bitcoin is a threat to the US dollar,” he asserted.

Solomon acknowledged that while Bitcoin's underlying technology is crucial, regulatory constraints currently limit banks' involvement with cryptocurrency.

“At the moment, from a regulatory perspective, we can’t own, we can’t principal, we can’t be involved with Bitcoin at all,” he explained.

He suggested that if regulations were to change, Goldman Sachs would reconsider its stance on engaging with Bitcoin.

Solomon's views align with those of Lee Bratcher, president of the Texas Blockchain Council, who indicated that stablecoins could help maintain the dollar's dominance as the world's reserve currency.

“If we want to continue US hegemony, we need the dollar to remain the world’s reserve currency,” Bratcher stated.

Recent data shows that the US Dollar Index (DXY) stands at 108.310, reflecting a slight increase over the past month, while Bitcoin is trading around $102,911, having risen by approximately 7.89% during the same period.

Goldman Sachs is reportedly preparing to spin out its cryptocurrency platform to create a new entity focused on blockchain financial instruments.

Mathew McDermott, Goldman’s global head of digital assets, mentioned that this spinout is expected to occur within 12 to 18 months, pending regulatory approvals.

At the time of reporting, the Bitcoin (BTC) price was $102,256.