The $12.5 trillion asset manager reverses its stance by hiring a digital assets chief amid growing tokenization trends.
Vanguard has begun recruiting a head of digital assets, signaling a strategic shift after years of resisting cryptocurrency products. The firm, which manages $12.5 trillion in global assets, previously blocked clients from purchasing spot Bitcoin and Ether ETFs on its brokerage platform and declined to launch crypto ETFs despite industry adoption.
The move contrasts with Vanguard’s August 2024 statement, when CEO Salim Ramji dismissed crypto ETFs as mere imitation of competitors. Analysts noted the reversal as the tokenized asset market surges, now valued at $33.5 billion, including $14.9 billion in tokenized U.S. Treasury products.
Competitors like Franklin Templeton and BlackRock have expanded into tokenized assets, with Franklin Templeton managing $2.5 billion and BlackRock overseeing $2.3 billion in such products.