Backlash from customers to VanGuard rejecting Bitcoin ETFs

The SEC's decision to allow spot Bitcoin ETFs has caused a stir in the traditional financial world. Politicians like Elizabeth Warren say the SEC is making a mistake, while Vanguard, another giant investment firm seen as BlackRock's "brother," has announced that it will not allow Bitcoin spot ETFs on its platform.

No GBTC buying, but selling ...

The ban on Bitcoin ETFs by Vanguard, which has the most say in the world investment field with BlackRock, has started to attract reactions from its customers. The tweets of an American named Tony Spencer, a Vanguard customer, spread to millions on social media. Spencer stated that he called the company about the issue and received a response that "does not align with the company's philosophy."

Spencer also stated that he told the company official, "But in the past, you gave the right to buy GBTC shares," to which he replied, "You can't buy it now, but you can sell it."

"We're moving to Fidelity"

While social media was abuzz with Vanguard's move in the evening, some users were seen saying that they would cancel their pension funds and switch to Fidelity. Fidelity is also known as one of the largest companies managing retirement savings, known as 401(k). One of the approved Bitcoin spot ETF products was Fidelity's.

Published: January 12, 2024 09:05Last Updated: January 12, 2024 09:08