Vanguard’s shift toward a Crypto ETF signals that digital assets have firmly entered the mainstream.
- Vanguard Group, managing $10T in assets, plans to let brokerage clients access third-party crypto ETFs, reversing its prior skepticism toward digital assets. - The shift follows regulatory reforms under Trump, SEC approval of crypto ETF frameworks, and BlackRock’s IBIT ETF attracting $77B in inflows since 2024. - Vanguard’s CEO Salim Ramji, former BlackRock executive, prioritizes facilitating third-party crypto ETF access without launching its own products, aligning with risk-averse strategies. - This mo
Vanguard Group, which manages over $10 trillion in assets and ranks as the world’s second-largest asset manager, is reportedly getting ready to allow its brokerage clients to invest in third-party cryptocurrency exchange-traded funds (ETFs). This move could signal a shift from the company’s historically cautious stance on digital assets. According to a September 26, 2025 report by Crypto in America, this change comes as client interest in crypto grows and regulations become more accommodating. Previously, Vanguard had restricted its clients from buying spot
Several factors are driving Vanguard’s reconsideration. Regulatory reforms under the Trump administration have made it easier to approve crypto ETFs, with the Securities and Exchange Commission (SEC) recently adopting broader listing standards to speed up the process. The strong performance of existing crypto ETFs, such as BlackRock’s iShares Bitcoin Trust (IBIT), has also highlighted significant investor interest. Since its launch in January 2024,
This potential change would put Vanguard in direct competition with firms like Fidelity Investments and Charles Schwab, both of which already offer crypto ETFs on their platforms. By enabling clients to invest in select third-party crypto ETFs, Vanguard could address dissatisfaction from clients who were previously unable to access these products. This approach also helps the company avoid the risks of directly managing volatile crypto assets, while still meeting client demand. Vanguard is expected to focus on highly liquid ETFs that track Bitcoin and
Industry experts believe Vanguard’s entry could significantly impact the crypto ETF market. BlackRock’s IBIT, which currently holds 70% of U.S. spot Bitcoin ETF assets, could see even greater inflows if it becomes available on Vanguard’s platform. Other major ETFs, such as Fidelity’s FBTC, may also benefit. For Vanguard, this move is a careful balance between satisfying client demand and maintaining its reputation for low-cost, diversified investing. Bloomberg Senior ETF Analyst Eric Balchunas commented that Vanguard’s potential shift “makes sense” given the popularity of crypto ETFs and Ramji’s background in the field.
Clearer regulations have played a crucial role in enabling this shift. The SEC’s recent approval of commodity-based ETF structures and the Trump administration’s supportive stance on crypto have reduced hesitation among institutions. Joint efforts by the SEC and the Commodity Futures Trading Commission (CFTC) to align regulations have further legitimized crypto as an investment class. These regulatory advances, along with the success of Ethereum ETFs and increasing institutional participation, have set the stage for Vanguard’s reconsideration.
Although no official rollout date has been announced, the potential impact is substantial. With 50 million clients, Vanguard could channel significant capital into crypto ETFs, boosting liquidity for major digital assets like Bitcoin. This could lead to wider acceptance of crypto in mainstream investment portfolios, similar to other alternative assets. Nonetheless, challenges remain, such as managing client expectations around price swings and ensuring compliance with regulations. Vanguard’s careful strategy suggests it will introduce access gradually, focusing on established ETFs and steering clear of more speculative offerings.
This announcement marks a significant point in the merging of traditional finance and the crypto sector. Vanguard’s possible move not only signals growing acceptance of crypto in mainstream investing, but also highlights the importance of regulatory progress and market demand. As Vanguard navigates this transition, its actions could influence other asset managers who are still hesitant about digital assets.
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.
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