Goldman Sachs CEO David Solomon Believes Bitcoin Could 'Very Well” Function as a Store of Value Similar to Gold

However, he cautioned investors from seeking over-exposure and added that investors should be wary of any overexposure to the asset class.

Goldman Sachs (NYSE:GS) CEO David Solomon has likened Bitcoin (CRYPTO: BTC) to gold, suggesting that the leading cryptocurrency could very well function as a store of value.

However, Solomon, who has never been a Bitcoin skeptic, advised investors against over-exposure to the cryptocurrency, adding that investors should be wary of any overexposure to the asset class during an interview with CNBC on Tuesday.

“I’m not a Bitcoin skeptic. I’ve never been one. I think it’s a speculative investment,” Solomon said.

“It doesn’t get used for a lot of things, but I think the blockchain technology is super interesting and could digitize the entire financial system, which would take out a lot of friction.”

Under Soloman's leadership, Goldman Sachs has introduced a crypto desk in 2021 and signaled its commitment to exploring digital assets.

At the time, Solomon said that Bitcoin could eventually overtake gold's market capitalization to become the world’s largest asset class, an idea that was echoed by former President Donald Trump during the Bitcoin Conference in Nashville last week, CNF reported.

Goldman’s commitment to the digital assets industry remains strong, with the banking giant planning to launch three tokenization projects by the end of 2024. The projects will focus specifically on the US and European markets. Additionally, Goldman is working on creating a marketplace for tokenized assets.

A Push For Bitcoin Reserves The comments from the Goldman Sachs CEO come as there is a growing push to make Bitcoin a US strategic reserve, as reported by Crypto News Flash.

Wyoming Senator Cynthia Lummis introduced a draft bill on Tuesday proposing that the Federal Reserve revalue its gold reserves and use a portion of the proceeds to purchase 1 million BTC over the next five years. According to Lummis, holding Bitcoin as a strategic reserve would significantly help the US reduce its national debt.

MicroStrategy (NASDAQ:MSTR) CEO Michael Saylor, who has been credited with sparking the conversation around Bitcoin being included in the US strategic reserves, believes that the first country to start accumulating Bitcoin by issuing fiat currency has the best chance of becoming the world’s next superpower.

Saylor also noted that Bitcoin could help countries, including the US, eliminate their rising national debt within two decades.

During the interview, the CNBC host discussed how Bitcoin has become a political issue, with both camps - Republicans and Democrats - extending their support to the crypto industry.

While Vice President Kamala Harris has spoken about her efforts to “reset” the relationship with the crypto industry, she continues to choose anti-crypto lawmakers to be her allies, according to the CNF report.

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