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<p>The post <a href="https://coinpedia.org/news/vanguard-faces-criticism-over-refusal-to-list-spot-ethereum-etfs/">Vanguard Faces Criticism Over Refusal to List Spot Ethereum ETFs</a> appeared first on <a href="https://coinpedia.org">Coinpedia Fintech News</a></p> 
<p>Vanguard Group, one of the leading investment advisors in the USA with roughly $7.7 trillion in assets under management, is facing significant criticism for its ban on allowing spot Ethereum ETFs on its platform. This <a href="https://coinpedia.org/news/big-win-for-ethereum-as-the-sec-approved-spot-ethereum-etfs/" target="_blank" rel="noreferrer noopener">decision comes in the wake</a> of the Securities and Exchange Commission’s (SEC) recent approval of 19b-4 proposals by exchanges seeking to list spot ETH funds.</p> 
<h2 class="wp-block-heading" id="h-vanguard-s-etf-ban-sparks-backlash">Vanguard’s ETF Ban Sparks Backlash</h2> 
<p>According to senior crypto analyst Eric Balchunas, Vanguard asserts that these ETFs are “not aligned” with the goal of building a well-balanced, long-term portfolio. Despite the growing acceptance of cryptocurrencies in mainstream finance, Vanguard’s position remains unchanged.</p> 
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   <p lang="en" dir="ltr">I know this drives CT crazy but I would just take the L here and move on, Vanguard is not a normal asset manager (constantly hunting for revenue). they more like a co-op, and they've taken in nearly billion a day for over a decade, and so they not envious of other peoples' hit…</p>— Eric Balchunas (@EricBalchunas) <a href="https://twitter.com/EricBalchunas/status/1795977109506064434?ref_src=twsrc%5Etfw">May 30, 2024</a>
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<p>Balchunas personally finds Vanguard’s ban on <a href="https://markets.coinpedia.org/crypto-etf/" target="_blank" rel="noreferrer noopener">Ether ETFs</a> to be overly cautious, likening their approach to a “Nanny role.” He argues that Vanguard’s investors, whom he considers the “smartest money on the planet,” are capable of making informed decisions and can handle having more investment choices.</p> 
<p>Meanwhile, Balchunas points out that this stance is not surprising given Vanguard’s unique operational model. Unlike typical asset managers who constantly seek revenue, Vanguard operates more like a co-op, taking in nearly a billion dollars a day for over a decade without the need to chase after high-performing ETFs.</p> 
<h2 class="wp-block-heading" id="h-vanguard-s-competitors-embracing-bitcoin">Vanguard’s Competitors Embracing Bitcoin</h2> 
<p>Even though the company did not allow spot <a href="https://markets.coinpedia.org/bitcoin-etf/" target="_blank" rel="noreferrer noopener">Bitcoin ETFs</a> to trade on its platform when they hit the market in January. This decision came despite competing brokerages like Fidelity and Charles Schwab offering such products.</p> 
<p>Even BlackRock, one of Vanguard’s chief rivals in asset management, offers a Bitcoin fund that has grown to nearly $20 billion in assets.</p> 
<h2 class="wp-block-heading" id="h-a-glimmer-of-hope">A Glimmer of Hope?</h2> 
<p>However, there might be a glimmer of hope for crypto enthusiasts. Balchunas notes that <a href="https://corporate.vanguard.com/content/corporatesite/us/en/corp/who-we-are/pressroom/press-release-vanguard-announces-appointment-salim-ramji-new-ceo-05142024.html#:~:text=VALLEY%20FORGE%2C%20PA%20(May%2014,%2C%20effective%20July%208%2C%202024." target="_blank" rel="noreferrer noopener nofollow">Vanguard’s new CEO</a>, Salim Ramji, could influence the company’s future decisions regarding crypto assets. Ramji, a former BlackRock executive, was instrumental in launching BlackRock’s Bitcoin ETF (IBIT) and has shown interest in crypto assets.&nbsp;</p> 
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   <p lang="en" dir="ltr">Global Head of iShares and Index Investments at BlackRock Salim Ramji breaks down why the firm filed a fresh set of applications for a spot-Bitcoin ETF to add new details after the SEC indicated that the initial filings were insufficient <a href="https://t.co/n6wrPHF0SQ">https://t.co/n6wrPHF0SQ</a> <a href="https://t.co/OZzw0vWrI0">pic.twitter.com/OZzw0vWrI0</a></p>— Bloomberg TV (@BloombergTV) <a href="https://twitter.com/BloombergTV/status/1678499259581100040?ref_src=twsrc%5Etfw">July 10, 2023</a>
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<p>The critical question remains whether Ramji’s experience and apparent interest in crypto could potentially shift Vanguard’s stance if he chooses the firm’s traditional policies.</p> 
<p>However, Vanguard’s decision to exclude spot Ethereum ETFs highlights the ongoing tension between traditional investment strategies and the evolving cryptocurrency market.&nbsp;</p> 
<p>Also Check Out : <a href="https://coinpedia.org/price-analysis/is-this-ethereum-eth-price-final-correction-before-achieving-4k-mark/">Is This Ethereum (ETH) Price Final Correction Before Achieving $4K Mark?</a></p>

Vanguard Faces Criticism Over Refusal to List Spot Ethereum ETFs

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