Goldman Sachs to Acquire NEOS for up to $2.25 Billion, Gaining a $1 Billion Bitcoin Income ETF

Goldman Sachs said Wednesday it has agreed to acquire NEOS Investments for up to $2.25 billion in cash and equity, a deal that would hand the bank three crypto income ETFs. The transaction is expected to close in the first quarter of 2027, subject to regulatory approval and customary conditions.

NEOS, founded in 2022, manages $30 billion across 19 options-based income ETFs as of June 30. Three are crypto funds: the Neos Bitcoin High Income ETF (BTCI), the Boosted Bitcoin High Income ETF (XBCI) and the Ethereum High Income ETF (NEHI). None holds bitcoin or ether directly. Each buys exchange-traded products tracking the asset and writes calls against the position to fund monthly distributions. BTCI, launched in October 2024, is the largest at roughly $1.1 billion in net assets and offering yields of about 27%, according to Bloomberg senior ETF analyst Eric Balchunas. XBCI launched in February with about $111 million, and NEHI launched in December 2025 and holds more than $77 million.

Goldman registered its own Bitcoin Premium Income ETF with the SEC on April 14 and never brought it to market. Buying BTCI instead hands the bank a fund that already cleared $1 billion in under two years. Balchunas said the acquisition explains the dormant filing, framing it as a way to leapfrog BlackRock’s iShares Bitcoin Premium Income ETF rather than arrive late with a similar product.

BITA went live on Nasdaq on June 16 with a 0.65% expense ratio, targeting a 15% to 25% annual yield by selling calls on 25% to 35% of its IBIT holdings, and holds about $59 million. BTCI charges 0.99% and has fallen roughly 56% over the past year, with shares sliding from a 52-week high of $65.87 to around $28.

The purchase follows Goldman’s roughly $2 billion acquisition of Innovator Capital Management, announced in December and closed in April. Together, Goldman Sachs Asset Management, Innovator and NEOS oversaw more than $130 billion in ETF assets as of June 30, including about $80 billion in active ETFs, enough to rank eighth among active ETF managers globally. Derivative income ETFs have grown to roughly $180 billion industry-wide, compounding at more than 70% a year since 2021. NEOS co-founders Troy Cates and Garrett Paolella will join Goldman Sachs Asset Management as partners at closing.

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