Vanguard Becomes Largest Shareholder in Bitcoin Holder MicroStrategy

Vanguard has become the largest institutional shareholder of Michael Saylor-led MicroStrategy, holding 20.5 million shares accounting for 8.55% ownership. The company is the world's largest publicly listed corporate holder of Bitcoin, with 601,550 Bitcoins valued at $74 billion on its corporate balance sheet. Despite Vanguard's skepticism towards direct exposure to Bitcoin, the asset management firm now has a significant investment in MicroStrategy.

Vanguard Group has recently become the largest institutional shareholder of Michael Saylor-led MicroStrategy, holding 20.5 million shares accounting for 8.55% ownership. This development highlights Vanguard's substantial investment in MicroStrategy, which is the world's largest publicly listed corporate holder of Bitcoin, with 601,550 Bitcoins valued at $74 billion on its corporate balance sheet [1].

Despite Vanguard's past skepticism towards direct exposure to Bitcoin, the asset management firm now holds a significant investment in MicroStrategy. This shift reflects a broader trend of growing institutional support for Bitcoin and Bitcoin Treasury strategies. MicroStrategy's stock has surged approximately 3,400% since 2020, showcasing the success of its Bitcoin reserve strategy [2].

Vanguard's exposure to MicroStrategy extends beyond its passive products. The company's $1.4 trillion Total Stock Market Index Fund (VITSX) holds 5.7 million shares of MicroStrategy, worth roughly $2.6 billion. Other major funds, such as the $91 billion Vanguard Extended Market Index Fund (VIEIX) with 3 million shares, also hold significant positions in MicroStrategy. This indicates that Vanguard's investment in MicroStrategy is a result of its index investing approach, which involves holding a variety of stocks to mirror specific market indices [1].

Vanguard's move to become MicroStrategy's largest shareholder is notable given its previous concerns about Bitcoin. The company previously warned that Bitcoin might be risky for portfolios and unsuitable for long-term investors. However, the success of MicroStrategy's Bitcoin strategy, as evidenced by its stock performance, has led Vanguard to reconsider its stance on cryptocurrencies [2].

The growing acceptance of Bitcoin as a legitimate reserve asset within the traditional financial community is evident in this development. Vanguard's investment in MicroStrategy highlights how Bitcoin can be integrated into traditional investment portfolios, even by firms that have traditionally been cautious. This shift reflects a broader trend of increasing institutional acceptance of cryptocurrencies [1].

References:
[1] https://www.bloomberg.com/news/articles/2025-07-14/vanguard-goes-big-on-crypto-thanks-to-index-boom-it-unleashed
[2] https://www.fxleaders.com/news/2025/07/15/vanguard-takes-top-spot-as-microstrategys-largest-shareholder-amid-bitcoin-surge/