This comes as a surprise to many, as the bank has been known to be a vocal critic of Bitcoin in the past.
A tweet featuring details from the report and showing the year-to-date asset returns, revealed that Bitcoin has outperformed other traditional assets such as the S&P 500, gold, real estate, and Nasdaq 100.
â‚¿REAKING: #Bitcoin is the best performing asset in the world this year, according to latest data by Goldman Sachs pic.twitter.com/vh7f7UIloi
— Documenting â‚¿itcoin (@DocumentingBTC) January 23, 2023
It has also outdone various indices such as the MSCI emerging markets index, MSCI developed markets, and sectors like energy, information technology, and financials.
According to the report, Bitcoin holds the top spot on the list with over 27% in total returns and a risk-adjusted ratio of 3.1.
Also read: UK Financial Services Head Plans ‘Timely, Sensible And Balanced’ Crypto Regulation
This is a significant shift for Goldman Sachs, as the investment bank had previously been skeptical of Bitcoin and other cryptocurrencies.
However, in early 2021, the bank added Bitcoin to its returns report, and later in 2022, it introduced crypto services for its high net-worth clients, citing increased demand.
The world’s largest digital currency is currently trading at $22,720, showing a decline of 1.28% in the last 24 hours, but a gain of 8.4% in the past 7 days and an overall increase of 34.1% in the past month.
Bitcoin’s market capitalization is at $435.13 billion, surpassing that of major traditional finance companies such as JPMorgan Chase, Bank of America, and Wells Fargo.
The report by Goldman Sachs is an indication that Bitcoin is becoming viewed as an increasingly valuable asset, even among traditional financial institutions.
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