At a recent conference in New York, John Ameriks, Vanguard’s global head of quantitative equity, expressed skepticism about Bitcoin’s status as a long-term investment asset. He noted that Bitcoin, currently valued at $90,293.15, resembles a speculative collectible more than a viable means of building enduring wealth, likening it to the trendy plush toy, Labubu. During his remarks at Bloomberg’s ETFs in Depth conference, Ameriks emphasized that Bitcoin lacks essential attributes such as income generation, compounding potential, and cash flow—characteristics that Vanguard prioritizes when assessing investment opportunities.
This commentary comes at a significant moment for Vanguard, which has recently enabled its clientele of 50 million to access cryptocurrency exchange-traded funds (ETFs) from competitors like BlackRock and Fidelity. This shift marks a notable change for the asset management giant, which has historically maintained a stance against integrating cryptocurrency products into its offerings. Vanguard has long viewed digital assets as highly speculative, asserting they do not align with the firm’s fundamental investment philosophy.
Yet, despite opening its platform to crypto ETFs, Ameriks reiterated that Vanguard has no plans to introduce its own cryptocurrency-focused funds. This decision contrasts sharply with BlackRock’s success in generating substantial revenue from Bitcoin ETFs. Ameriks pointed out that while many crypto ETFs have weathered market volatility effectively, Vanguard will not provide guidance to clients on how to navigate the cryptocurrency landscape, including recommendations on buying, selling, or selecting specific tokens.
Although Ameriks acknowledged that Bitcoin might acquire non-speculative value under specific circumstances—such as in periods of high inflation or political uncertainty—he maintained that the evidence supporting this notion remains limited. “You’ve still got too short of a history,” he stated, reinforcing his cautious outlook toward Bitcoin and similar assets.
