Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert & block trade
Convert crypto with one click and zero fees
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Vanguard Group Won’t Let Its Clients Buy The New Bitcoin ETFs: Here’s Why

Vanguard Group Won’t Let Its Clients Buy The New Bitcoin ETFs: Here’s Why

CryptopotatoCryptopotato2024/01/11 23:49
By:Andrew ThrouvalasMore posts by this author

Vanguard’s founder once told investors to avoid Bitcoin like the plague.

Vanguard Group – the $7.7 trillion asset manager outsized only by BlackRock – has blocked client access to all newly listed Bitcoin spot ETFs.

The firm has also ruled out launching a Bitcoin ETF product of its own, claiming the asset doesn’t align with the firm’s investment philosophy.

Banks Blocking Bitcoin Access

Multiple Twitter and Reddit users confirmed on Thursday that they could not purchase any Bitcoin-backed funds through their Vanguard client accounts.

Twitter user @notsleepy said he called the firm about his inability to buy into the Grayscale Bitcoin Trust (GBTC) – a pre-existing Bitcoin grantor trust that began trading as a spot ETF on Thursday.

The company told him that Vanguard isn’t “allowing those to be purchased as it doesn’t fit with Vanguard’s investment philosophy.”

Though GBTC was previously available for trade, Vanguard now prevents investors from buying more shares, and only allows them to sell their current holdings.

When attempting to buy any Bitcoin ETF security via a retirement brokerage account, customers are presented with the following message:

“Buy orders are not currently accepted for this security. Securities may be unavailable for purchase at Vanguard due to a number of variables including regulatory restrictions, corporate actions, or various trading and/or settlement limitations.”

Just transferred my 401k from Vanguard to Fidelity. It took about 15 minutes.

If you have an account with a broker currently blocking access to #bitcoin ETFs, close it and get out.

Make these boomers hurt

— Julian Fahrer (@Julian__Fahrer) January 11, 2024

Vanguard Dislikes Commodities

As reported by The Block, a spokesperson for Vanguard said that the firm has no plans to enable the purchase of Bitcoin ETFs on its platform, citing their high volatility.

According to Bloomberg ETF analyst Eric Balchunas, Vanguard’s rejection of Bitcoin is hardly surprising. For example, Vanguard founder John Bogle warned investors in November 2017 to “avoid Bitcoin like the plague.”

“Bogle did not like commodities in general,” said Balchunas during an X spaces on Thursday, emphasizing that Bitcoin is not a productive asset with cash flows or a coupon attached.

Vanguard hasn’t shied away from Bitcoin-related investments in the past, however. The asset manager owns a 9% stake in MicroStrategy (MSTR), one of the largest institutional owners of Bitcoin.

It also made a nine-figure investment in shares for Bitcoin mining firms like Riot Platforms and Marathon Digital last year.

Other wealth managers including the Bank of America-owned Merrill Lynch have also denied customers access to Bitcoin ETFs.

You Might Also Like:

  • CBOE Confirms Multiple Bitcoin ETPs Will Begin Trading Tomorrow
  • GBTC Discount Continues to Shrink as Bitcoin ETFs Move Closer to Reality
  • A Look at The Best Bitcoin ETF Ads so Far
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Crypto, Stocks, Bonds: A Perspective on the Leverage Cycle

Stocks, bonds, and cryptocurrencies support each other; gold and BTC jointly underpin US Treasuries as collateral, while stablecoins support the global adoption rate of the US dollar, making the losses in the deleveraging process more socialized.

佐爷歪脖山2025/09/05 08:03
Crypto, Stocks, Bonds: A Perspective on the Leverage Cycle

The Golden Age of Prediction Markets: Polymarket Frenzy and Kalshi's Debut

On-chain prediction markets are becoming an important force in information pricing and risk hedging. Changes in probabilities can serve as a reference for judging the authenticity of news, offering practical application value.

BlockBeats2025/09/05 07:43
The Golden Age of Prediction Markets: Polymarket Frenzy and Kalshi's Debut