Bitcoin ETF: Cathie Wood Calls Vanguard’s Decision to Exclude ETFs Bad

Cathie Wood called Vanguard’s decision to exclude bitcoin ETFs bad, saying it will lead to a loss of users of the decentralized currency system.

The SEC’s green signal for bitcoin ETFs is a landmark ruling for the cryptocurrency market as a whole. However, Vanguard has maintained a strong stance on not offering a trading option for bitcoin ETFs, a move that Cathie Wood, founder of Ark Invest, called “horrific.

Cathie Wood Shares Her Insight on Vanguard Group’s Move

In an interview with Yahoo Finance, Ark Invest CEO Cathie Wood called Vanguard Group’s refusal to allow clients to purchase a bitcoin ETF a “horrible” decision. She added, “Among other things, the Vanguard Group will deprive investors of the first global decentralized currency system in history.

Previously, the Vanguard Group reiterated its commitment to shunning cryptocurrency investments, continuing to exclude bitcoin futures products from its brokerage offerings and avoiding investments in spot bitcoin exchange-traded funds.ETC Miner

Previously, a Vanguard representative clarified in an interview with Axios that this choice is in line with the organization’s strategy.

Vanguard Group Reaffirms Position After Client Shift

After maintaining a “cryptocurrency-free” stance, Vanguard has seen a shift of major clients away from its platform. Under Vanguard’s strict policy, many users deleted their accounts and switched to other brokers that do offer exposure to Bitcoin ETFs.

Vanguard Group’s move has also caused a backlash on social media. People are upset that bitcoin products are not available on the financial giant’s platform. In addition, the #BoycottVanguard hashtag has begun trending on social media sites such as X. Bitcoin advocates are also asking their friends to move their 401(k) assets from Vanguard to other providers, such as Fidelity.Bitcoin mining

Analysts Expect Action to Change

Eric Balchunas, senior ETF strategist at Bloomberg, provides insight into the Vanguard Group’s current anti-bitcoin stance, noting that the Vanguard Group’s move is more or less in line with the firm’s traditional methodology.

However, he believes that this position may become less rigid in the coming years. balchunas believes that as Vanguard’s advisory business grows, access to alternative investments (alts) may become a necessity. balchunas emphasizes the changing dynamics of the investment landscape, and points to the Vanguard Group’s recent foray into private equity as a step forward in this regard. A step in that direction.