After Tim Buckley, CEO of Vanguard, unequivocally stated that his company had no interest in participating in spot Bitcoin ETFs, financial advisor Jim Bianco came forward on X to defend him against the ensuing criticism.
Vanguard Remains Firm Against Spot Bitcoin ETFs Following the approval of spot Bitcoin ETFs by the U.S. SEC in January, several major asset management firms, including BlackRock, Fidelity Investments, Grayscale Investments, and WisdomTree, embraced the new product. However, Vanguard took a clear stance against engaging in the spot Bitcoin ETF market, drawing criticism from some figures in the crypto community. Cathie Wood of Ark Invest went as far as labeling the decision as “terrible,” expressing concerns that it would deny Vanguard users access to a decentralized monetary system.
Recently, Buckley reaffirmed Vanguard’s position on spot Bitcoin ETFs, reiterating that the company would not reconsider its stance unless there were significant changes in the asset class. A post on X discussing this news gained widespread attention, prompting Bianco to intervene due to what he perceived as “a slew of misguided reactions from the crypto community.”
Comparison Between BlackRock and Vanguard Bianco began by drawing a comparison between BlackRock and Vanguard, likening them to massive entities in the ETF market. He highlighted that while BlackRock typically manages around $2.84 trillion in ETF assets and recorded $2.6 billion in inflows last week, Vanguard, with approximately $2.58 trillion in assets, saw inflows of $29.44 billion into all its ETFs during the same period, excluding spot Bitcoin ETFs. Bianco’s intention was to demonstrate that Vanguard’s decision to abstain from listing spot Bitcoin ETFs did not adversely affect its performance.
Additionally, Bianco debunked rumors suggesting that Buckley was forced out of Vanguard due to the company’s reluctance to adopt spot Bitcoin ETFs. He clarified that Buckley is retiring and emphasized his significant contributions to Vanguard’s success throughout his tenure as CEO.
“Buckley’s legacy as one of Wall Street’s most successful asset managers is undeniable. Suggesting that he is being ousted for missing out on one ETF, which may represent a fraction of their total assets, currently exceeding $9 trillion, is simply ludicrous,” Bianco concluded.