Bitcoin News Today: Vanguard Reverses Skepticism, Offers Regulated Crypto ETFs to Meet Investor Demand

Vanguard Group, the world's second-largest asset manager with $11 trillion in assets under management, is set to allow its 50 million clients to trade regulated cryptocurrency exchange-traded funds and mutual funds on its brokerage platform starting December 2, 2025, marking a significant reversal from its long-standing skepticism of digital assets. The firm will support most crypto ETFs and funds that meet regulatory standards, including those tied to Bitcoin, Ether, XRP, and Solana, but will exclude funds linked to memecoins or unapproved tokens according to reports. Vanguard has no current plans to launch its own crypto products, opting instead to align its approach with how it treats niche assets like gold.

The decision reflects growing institutional and retail demand for regulated exposure to digital assets, driven by the approval of spot Bitcoin ETFs in early 2024. BlackRock's iShares Bitcoin Trust, the largest of these funds, surged to nearly $100 billion in assets earlier this year before retreating to around $70 billion amid market volatility. Vanguard's head of brokerage and investments, Andrew Kadjeski, noted that crypto ETFs have demonstrated resilience during market swings and that back-office processes for servicing these funds have matured as Bloomberg reported. The firm's previous resistance to crypto was rooted in concerns over volatility and speculative risks, as emphasized by former CEO Tim Buckley, who retired in late 2024.

The policy shift positions Vanguard to compete with rivals like BlackRock and Fidelity, which have aggressively entered the crypto space. By opening its platform, Vanguard is now enabling clients to access products similar to those offered by BlackRock, potentially accelerating mainstream adoption of crypto ETFs. The move also aligns with broader institutional trends, such as Brazil's BlackRock seeing its Bitcoin ETFs become a top revenue driver despite recent market turbulence. In November 2025, the firm's IBIT ETFs experienced outflows amid Bitcoin's price declines, which a director described as "perfectly normal" in a volatile market according to Live Bitcoin News.

Critically, Vanguard's exclusion of memecoins and unregulated tokens underscores its cautious approach, focusing on mainstream digital assets with established regulatory clarity. This strategy mirrors the firm's handling of other niche investments, ensuring alignment with its fiduciary duty to serve diverse investor needs. The firm's decision follows a leadership transition under Salim Ramji, a former BlackRock executive and blockchain advocate, who had previously ruled out crypto products as recently as August 2025 according to Cointelegraph.

The impact of Vanguard's move could extend beyond its client base, potentially spurring broader market participation and liquidity in crypto ETFs. With over $11 trillion in assets, the firm's endorsement of regulated digital assets may signal growing confidence in their role within diversified portfolios. However, challenges remain, including navigating regulatory uncertainties and market volatility, which continue to test the resilience of crypto-linked products.