Vanguard Halts Client Purchases of Bitcoin ETFs: A Deep Dive

• Vanguard Blocks Purchase of Newly Approved Bitcoin ETFs
• Vanguard's Resistance to Bitcoin ETFs
• No Comment from Vanguard Spokesperson
• Contrasting Views from Rival Firms
• Charles Schwab Welcomes Bitcoin ETFs

Vanguard Blocks Purchase of Newly Approved Bitcoin ETFs

Vanguard, a global leader among asset managers, is obstructing its customers from purchasing the recently sanctioned Bitcoin$42,260 -0.64% ETFs. Attempts to invest in BlackRock's iShares Bitcoin Trust (IBIT) or Grayscale Bitcoin Trust (GBTC) via a Vanguard retirement brokerage account resulted in an alert stating, trade cannot be completed.

Vanguard's Resistance to Bitcoin ETFs

Efforts to acquire IBIT and GBTC through Vanguard faced a block. In response to this, Vanguard issued a statement. Buy orders are not currently accepted for this security, read the message. It further explained, Securities may be unavailable for purchase at Vanguard due to factors including regulatory restrictions, corporate actions, or various trading and/or settlement limitations.

No Comment from Vanguard Spokesperson

Attempts to reach a Vanguard spokesperson for comment were unsuccessful. As per an earlier report from The Block, Vanguard has decided not to sanction the purchase of Bitcoin ETFs, citing their high volatility as the main reason.

Contrasting Views from Rival Firms

Vanguard's stance is in sharp contrast to the acceptance of Bitcoin ETFs by some of its most significant competitors. Companies such as BlackRock, Fidelity, and Invesco have launched Bitcoin ETFs that commenced trading on Thursday. These firms received approval from the U.S. Securities and Exchange Commission for this on the previous day.

Charles Schwab Welcomes Bitcoin ETFs

Charles Schwab, another prominent brokerage, confirmed on Thursday that it would allow its customers to trade Bitcoin ETFs.

Edited by Jonathan Stoker