Vanguard Group a leading U.S. investment advisor, has clearly distanced itself from cryptocurrency by declaring it an immature asset class.
One of the most prominent investment advisors in the United States, Vanguard Group, has made it very obvious that it has distanced itself from the cryptocurrency world by stating that it is not a mature asset class. The Vanguard Group has taken a similar stance with regard to the spot Ethereum ETF, following its refusal to join its peers in launching a spot Bitcoin exchange-traded fund (ETF with spot prices).
Vanguard Won’t Offer Spot Ethereum ETFs
A spokeswoman for the Vanguard Group delivered the following message to Blockworks: “While we continuously evaluate our brokerage [offering] and evaluate new product entries to the market, spot ether ETFs will not be available for purchase on the Vanguard platform.
The Vanguard Group wrote the message in a straightforward and concise manner. One week later, the United States Securities and Exchange Commission (SEC) approved the 19b-4 filings submitted by the issuers and released the statement.
When planning the launch of the anticipated products, keep in mind that the securities authority still needs to clear the S-1 registration statements from fund issuers before the spot ETFs can go live for trading. Last Wednesday, BlackRock submitted its revised S-1 application on May 29th.
The approval process by the United States Securities and Exchange Commission (SEC) could take several weeks from now, with the majority of them anticipating its arrival by the fourth of July. They have clarified their position on digital assets.
In contrast, BlackRock, a competitor of Vanguard, has established itself as the largest Bitcoin fund provider with its IBIT Bitcoin Exchange-Traded Fund (ETF). Salim Ramji, a former executive at BlackRock who played a significant role in the development of the IBIT ETF, became Vanguard’s CEO at the beginning of this month.
On the other hand, he stated that he will continue to maintain the same level of consistency with Vanguad’s products and services. According to statements made by Cathie Wood, CEO of ARK Invest, the legitimacy of the Ethereum spot exchange-traded fund (ETF) is becoming an important election issue.
Initially, several market analysts believed the SEC would not approve the ETF. Furthermore, Wood pointed out that while the SEC might clear an exchange-traded fund (ETF) based on Solana, regulatory approval is unlikely for ETFs centered on memecoins.