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Bitcoin ETF: Cathie Wood Calls Vanguard’s Decision to Exclude ETFs “Terrible”

Bitcoin ETF: Cathie Wood Calls Vanguard’s Decision to Exclude ETFs “Terrible”

Bitcoin ETF’s green signal by the SEC was a landmark judgment for the entire crypto market. However, Vanguard has kept its stance strong on not providing the option to trade in Bitcoin ETFs. Ark Invest founder Cathie Wood has called this move “terrible”.

Cathie Wood shares her insights on Vanguard’s move

Cathie Wood, the CEO of Ark Invest, has called out Vanguard’s reluctance in dealing with digital assets. In an interview with Yahoo Finance, Wood said that it is a “terrible” decision by Vanguard to deny their customers access to Bitcoin ETFs. She added “Among other things, Vanguard is going to deprive the investors of the first global, decentralized monetary system in history.

The remark comes after Vanguard reaffirmed its resolve to steer clear of cryptocurrency investments. Vanguard is continuing to exclude bitcoin futures products from its brokerage offerings and refraining from investing in spot bitcoin exchange-traded funds.

Previously, speaking with Axios, a Vanguard representative clarified that this choice is consistent with the organization’s strategy.

Vanguard sees customer shift after reaffirming stance

After sticking to its “no crypto” stand, Vanguard saw a major customer shift from its platform. Many users were deleting their accounts and switching to other brokerage firms that do provide exposure to Bitcoin ETFs amid Vanguard’s rigid policy.

Vanguard’s move also saw a lot of online backlashes on social media. People were upset that bitcoin items were not available on the platform of the financial behemoth. Additionally, on social media sites like X, the hashtag #BoycottVanguard has begun to trend. Advocates of Bitcoin have also asked their friends to transfer their 401(k) assets from Vanguard to other providers, such as Fidelity.

Analysts expect a change in actions

Senior ETF strategist at Bloomberg Eric Balchunas provided insight into Vanguard’s present anti-bitcoin position. Balchunas pointed out that Vanguard’s move is more or less consistent with the business’s conventional methodology.

However, he believes that this position may become less rigid in the coming years. Balchunas makes the argument that access to alternative investments (alts) might become necessary as Vanguard grows its consulting business. Balchunas emphasized the changing dynamics in the investing sector and pointed to Vanguard’s recent entry into private equity as a step in this regard.