Goldman Sachs Buys Neos to Boost Crypto Income Offerings

Goldman Sachs is set to expand its crypto offerings with the acquisition of Neos Investments for up to $2.25 billion in cash and equity. The deal, announced on Wednesday, includes three crypto income ETFs: the Bitcoin High Income ETF (BTCI), Boosted Bitcoin High Income ETF (XBCI), and Ethereum High Income ETF (NEHI). These funds use options strategies to generate monthly income while offering exposure to assets like bitcoin, ether, and gold.

The acquisition is expected to close in the first quarter of 2027, subject to regulatory approval. The combined business would manage more than $130 billion across global ETF platforms, making Goldman Sachs the eighth-largest active ETF provider. Neos co-founders Troy Cates and Garrett Paolella will join Goldman Sachs Asset Management as partners after the transaction closes.

Bloomberg senior ETF analyst Eric Balchunas noted that the deal may explain why Goldman has not launched its own Bitcoin Premium Income ETF, which was filed for in April. The Neos BTCI ETF could help Goldman 'leapfrog' BlackRock's iShares Bitcoin Premium Income ETF (BITA), with $59 million in net assets.