Goldman Sachs clients began to move back into crypto in 2024, with the appeal boosted by the approval of spot Bitcoin exchange-traded funds.

Indeed, according to the head of digital assets for Goldman Asia Pacific, Max Minton, many of the organisation's largest clients have become active recently or were "exploring getting active" within the crypto sector, Bloomberg reports.

Minton went on to add that the increased crypto appetite was down to the US Securities and Exchange Commission, which gave the green light to 10 new Bitcoin ETFs in the United States in January.

"The recent ETF approval has triggered a resurgence of interest and activities from our clients," he stated.

Minton said the majority of this new demand is mainly from Goldman's existing clients, which is facilitated by the firm's options and future offerings. Among these clients, hedge funds exhibit the highest level of involvement.

Furthermore, Goldman presently doesn't provide any spot crypto products to its clients, despite launching its initial crypto trading desk back in 2021. The desk exclusively offers exposure to cryptocurrency derivatives, such as Bitcoin and Ether options and futures.

"It was a quieter year last year, but we've seen a pickup in interest from clients in onboarding, pipeline, and volume since the start of the year," Minton stated.

Minton further noted that among active clients, products related to Bitcoin emerged as the most popular investment options.

He also focused on the possible approval of a spot Ether ETF in the US as a factor that could redirect his firm's institutional clients towards Ether.

However, Bloomberg ETF analysts have assessed the likelihood of an Ether ETF approval by May at only 35%. The SEC's extended "radio silence" towards potential fund issuers is viewed as increasingly bearish in this context.