Vanguard CEO shoots down possibility of launching spot BTC ETF despite firms disclosing $100M+ in assets

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ETF News

Cryptocurrencies

Spot Bitcoin exchange-traded funds (ETFs) remain an abounding fundamental in the cryptocurrency market since the landmark approval on January 10 and subsequent launch the next day.

Vanguard brought in a new CEO, Salim Ramji, who has a background in heading BlackRock's global ETF business. On January 24, Vanguard indicated that it did not have plans to create a BTC ETF or other crypto-related products or feature other issuers. Ramji will not assume the position until July but commits not to reverse Vanguard’s decision not to launch a Bitcoin ETF. Firms with over $100 million in assets continue to disclose BTC ETF shares.

Vanguard sees crypto as more of a speculation than an investment, saying, “It’s an immature asset class that has little history, no inherent economic value, no cash flow, and can create havoc within a portfolio.” Vanguard’s products and services are designed with the goal to help investors save more, trade less, and take a long-term approach—not chase trends and churn their portfolios. Crypto is highly volatile, making it more tempting to trade.

 

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