Vanguard will now permit clients to trade crypto ETFs and mutual funds that hold digital assets, marking a significant change for the $11 trillion asset manager.
The company, the world's second-largest fund manager after BlackRock, will exclusively offer ETFs that comply with regulatory standards. These will include funds tracking Bitcoin, Ethereum, XRP, and Solana, while excluding speculative meme-coin products, according to a report by Bloomberg.
Vanguard will not develop its own crypto funds but will provide access to third-party offerings, such as those from BlackRock.
This decision follows Vanguard's reassessment of cryptocurrency products in response to increasing investor demand, a departure from the previous stance of former CEO Tim Buckley, who characterized digital assets as speculative.
Andrew Kadjeski, Head of Brokerage and Investments, stated to Bloomberg that crypto ETFs "have been tested through periods of market volatility, performing as designed while maintaining liquidity."
An X user, BankXRP, commented that this development "is another massive signal that traditional finance is fully stepping into digital assets."
Vanguard Reverses Stance on Crypto Products
Vanguard has historically opposed offering cryptocurrency products on its platform. A primary reason cited for maintaining distance from the digital asset space was the high market volatility.
Former CEO Tim Buckley was a vocal opponent of offering crypto products, stating in May of the previous year that the company did not believe crypto belonged in a "long-term portfolio of someone saving for their retirement," deeming it a "speculative asset." Buckley departed the firm at the end of last year.
Salim Ramji, who previously led BlackRock's global ETF business, succeeded Buckley as CEO. Ramji had also ruled out offering crypto products to the firm's clients as recently as August.
The inclusion of third-party crypto products on Vanguard's platform represents a substantial shift in its approach. This decision has been influenced by the maturation of the crypto ETF and mutual fund market and the continued growth in investor interest.
Kadjeski explained, "The administrative processes to service these types of funds have matured; and investor preferences continue to evolve."
Starting tmrw vanguard will allow ETFs and MFs tracking bitcoin and select other cryptos to begin trading on their platform. They cite how the ETfs have been tested performed as designed through multiple periods of volatility. Story via @emily_graffeopic.twitter.com/AKhMdR7pab
— Eric Balchunas (@EricBalchunas) December 1, 2025
Potential Impact on Crypto ETF Market
Some social media users have suggested that Vanguard's policy change could inject a significant amount of liquidity into the market, potentially leading to an increase in crypto prices.
Crypto analyst and investor Nilesh Rohilla expressed that he would be surprised if Bitcoin did not experience a 5% surge in the next 24 hours following this news.
Bitcoin did see an increase of over 1% in the past 24 hours, according to CoinMarketCap data. As of 1:25 a.m. EST, the leading cryptocurrency was trading at $86,984.61.
Bitcoin is currently attempting to break out of a medium-term descending channel, having traded between $83,231 and $93,176 in recent days.
Technical indicators such as short-term Exponential Moving Averages (EMAs), the Moving Average Convergence Divergence (MACD), and the Relative Strength Index (RSI) suggest that bearish sentiment currently prevails.
A sustained break above the $93,176 resistance level could enable Bitcoin to exit the aforementioned bearish channel and initiate a rally.