Vanguard Opens Door to Crypto ETF and Mutual Fund Trading

Vanguard, one of the world’s largest asset managers with approximately $11 trillion in assets under management, is taking a significant step into digital assets by allowing its brokerage clients to trade cryptocurrency ETFs and mutual funds. Beginning Tuesday, investors on Vanguard’s platform will gain access to a wide range of regulated crypto investment vehicles, according to a report from Bloomberg.

Andrew Kadjeski, Vanguard’s head of brokerage and investments, noted that cryptocurrency ETFs and mutual funds have demonstrated resilience through periods of market volatility while continuing to function as intended. He added that operational processes supporting these products have matured, and investor demand has evolved enough to justify broader availability. This shift marks a major policy change for Vanguard, which has historically taken a conservative stance toward digital assets.

The firm clarified that it will support crypto ETFs and mutual funds that meet established regulatory standards, aligning their treatment with other niche asset classes like gold. However, Vanguard will still restrict access to funds tied to memecoins or those lacking SEC approval. Despite the platform expansion, Vanguard emphasized that it has no plans to launch its own cryptocurrency products at this time.

The move positions Vanguard alongside competitors such as BlackRock, whose regulated crypto funds have quickly gained traction. Since launching in January 2024, U.S. spot bitcoin ETFs have surged to nearly $120 billion in assets under management, making them a popular entry point for investors seeking exposure to digital assets. Ether-based ETFs have also grown substantially, amassing close to $20 billion in AUM, according to SoSoValue.

With access to regulated crypto investment options for its 50 million clients, Vanguard is signaling a growing acceptance of digital assets within mainstream finance—an evolution that could further accelerate adoption across the broader market.