Bitcoin

Boycotts against Vanguard have proven to be futile as the investment giant has strengthened its anti-crypto exchange-traded fund (<a href="https://www.blockhead.co/tag/etfs/" rel="noopener noreferrer nofollow">ETF</a>) stance.For the past two weeks, the crypto industry has been basking in the embrace of TradFi staples following the approval of their <a href="https://www.blockhead.co/tag/bitcoin/" rel="noopener noreferrer nofollow">Bitcoin</a> ETF products by the SEC.One investment firm refraining from jumping on the bandwagon is Vanguard. Managing $8.6 trillion, Vanguard has adopted the philosophy of its late founder and chief executive, Jack Bogle: “Avoid Bitcoin like the plague.”As a result, Vanguard has refused to partake in the spot Bitcoin ETF hype, which in turn triggered a backlash on social media. Unable to accept that TradFi firms are still unwilling to accept crypto as a legitimate asset, #BoycottVanguard became a trending hashtag on X.Unsurprisingly, Vanguard was unmoved by the movement and instead opted to double down on its stance.When Vanguard&#39;s decision to shun Bitcoin ETFs came to light, Jeff DeMaso, editor of The Independent Vanguard Advisor, said the move was &#34;very much on brand for Vanguard.&#34;“For example, the firm kicked leveraged ETFs off its platform several years ago. Vanguard also hasn’t touched crypto with a 10-foot pole,” DeMaso <a href="https://www.ft.com/content/a45fdbf1-2c7c-4a17-b781-d7d3052cab38?ref&#61;blockhead.co" rel="noopener noreferrer nofollow">wrote</a> to his readers.At the time, DeMaso revealed he purchased a futures-based Bitcoin ETF in his own Vanguard account titled the ProShares Bitcoin Strategy ETF.“Simply put, this is contradictory. Bitcoin futures are meant to [and generally have] track bitcoin’s price,” DeMaso said. “If Bitcoin is too volatile or doesn’t have a place in a long-term portfolio [the reasons Vanguard has said it’s not allowing purchases of the new spot ETFs], well, the same should apply to the futures-based bitcoin ETFs.”However, with criticism mounting online, Vanguard took action to <a href="https://www.bloomberg.com/news/articles/2024-01-20/crypto-diehards-say-boycottvanguard-on-bogle-inspired-etf-snub?embedded-checkout&#61;true&amp;ref&#61;blockhead.co" rel="noopener noreferrer nofollow">remove</a> futures-backed Bitcoin from its platform too. Essentially ridding itself of any crypto products, Vanguard is now completely clear of the alternative asset.Vanguard&#39;s bold and seemingly controversial move hasn&#39;t damaged its intake either. Last week, the firm saw $4.4 billion added to its ETFs, maintaining its top position as a leader in the $8 trillion ETF market.As bitter as crypto enthusiasts might be about Vanguard&#39;s stance, perhaps Bitcoin ETFs aren&#39;t the be-all and end-all after all.<a href="https://www.blockhead.co/#/portal/signup" rel="noopener noreferrer nofollow">Join Blockhead today for FREE and stay in the loop on digital assets!</a>

Vanguard Boycott Backfires as it Doubles Down Against Bitcoin ETFs

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