Vanguard, an investment firm with $11 trillion in assets under management, is reportedly flirting with the idea of offering Bitcoin (BTC) products to its clients.

Serving some 50 million investors, Vanguard currently does not have any crypto-related offerings, so the very idea of exploring such assets signals a potentially fundamental shift.

This is especially true since the firm has long stood apart from its rivals, known for its sharp criticism of Bitcoin exchange-traded funds (ETFs) when they debuted in January 2024. 

Back then, Vanguard argued that cryptocurrencies lacked inherent economic value and produced no cash flow, possessing only inherent risk. 

However, it now appears that increasing client demand has led to a change of heart, as the growing institutional appetite for and the success of Bitcoin ETFs has never been stronger, as reported by Bloomberg on Wednesday, October 1.

“If you’re a Vanguard investor and you want to buy Bitcoin ETFs, you don’t want to go to another platform, and nearly every major platform now offers Bitcoin ETFs, so I feel like this is a sign of the times, a big shift,” said Isabelle Lee, who spoke with Eric Balchunas.

Crypto ETF demand not abating

According to the report, the U.S. investment giant is considering Bitcoin via Wall Street products, which could soon extend to altcoin ETFs, should the United States Securities and Exchange Commission (SEC) approve them.

Bloomberg’s Senior ETF Analyst, Eric Balchunas, a known advocate of Bitcoin alternatives, reiterated his hopes for a positive outcome on October 1, stating on X that the “Crypto ETF approval season has officially arrived!”

The potential implications are enormous. With 50 million clients worldwide, even a fraction of them could inject a significant flow of capital into the market.

Notably, in January last year, the finance giant shocked the market by refusing to offer the recently approved Bitcoin ETFs to its brokerage’s customers, although Finbold did report that  Vanguard is a major shareholder in Bitcoin mining companies

If Vanguard follows through, it could mark a watershed moment for crypto adoption, potentially igniting the next phase of retail participation.

Most of the optimism comes from the fact that the new CEO, Salim Ranji, is a BlackRock veteran who has previously spoken positively about the future of the industry.

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