Vanguard Group will enable bitcoin and crypto-linked exchange-traded funds and mutual funds to commerce on its platform, reversing a coverage that for years barred retail purchasers from accessing digital-asset merchandise by the agency.
Beginning Tuesday, Vanguard brokerage prospects will be capable to commerce ETFs and mutual funds that primarily maintain choose cryptocurrencies, together with Bitcoin and different crypto, based on Bloomberg reporting.
The transfer marks a shift for the world’s second-largest asset supervisor, which has lengthy argued that digital property had been too unstable and speculative for long-term portfolios.
The choice follows rising demand from each retail and institutional buyers and comes after the approval of spot Bitcoin ETFs in January 2024 ushered billions of {dollars} into regulated crypto merchandise.
BlackRock’s iShares Bitcoin Belief, the biggest of these funds, peaked close to $100 billion in property earlier this fall and nonetheless manages about $70 billion regardless of latest worth declines.
A Bitcoin ETF lets buyers acquire publicity to Bitcoin with out truly shopping for or storing the cryptocurrency themselves.
As a substitute, the fund holds Bitcoin (or Bitcoin-related contracts) whereas buyers merely purchase shares on a inventory trade, with the share worth transferring alongside Bitcoin’s market worth. It’s a handy and simple solution to get invested in Bitcoin.
Extra institutional cash coming into bitcoin
Vanguard’s change opens entry to crypto funds for greater than 50 million brokerage prospects who collectively oversee greater than $11 trillion in property, as of September 1, 2025.
“Cryptocurrency ETFs and mutual funds have been examined by intervals of market volatility, performing as designed whereas sustaining liquidity,” Andrew Kadjeski, Vanguard’s head of brokerage and investments, informed Bloomberg.
He added that back-office processes for servicing crypto funds have matured as investor preferences evolve.
The coverage shift comes greater than a 12 months after Salim Ramji, previously a high govt at BlackRock and a longtime blockchain advocate, took over as Vanguard chief govt.
Whereas Vanguard will help most crypto funds that meet regulatory necessities, the agency mentioned it is not going to launch its personal crypto merchandise and can proceed to exclude funds linked to meme cash.
“Whereas Vanguard has no plans to launch its personal crypto merchandise, we serve hundreds of thousands of buyers with various wants,” Kadjeski mentioned.
Crypto-linked ETFs stay among the many fastest-growing segments in U.S. fund business historical past, even after a pointy market pullback, underscoring rising investor urge for food for regulated publicity to digital property.
BlackRock just lately elevated inside publicity to its IBIT spot Bitcoin ETF, with its Strategic Earnings Alternatives Portfolio now holding 2.39 million shares price $155.8 million — up 14% since June.
Bitcoin jumped on the information, buying and selling above $86,500 on the time of writing.