The world’s largest asset manager, BlackRock, is heavily involved in cryptocurrencies and tokenized asset issuance. The company, which has 2 ETFs and a tokenized US bond issued on the Ethereum network, has attracted massive demand. Due to intense customer interest, the value of the BTC assets it holds as a counterpart to the ETFs has rapidly exceeded $20 billion.
BlackRock and Cryptocurrencies
BlackRock, the world’s largest asset manager, is actively investing in cryptocurrencies and tokenized asset issuance. With two ETFs and tokenized US bonds on the Ethereum platform, the company has attracted considerable demand, and the value of its cryptocurrency assets has exceeded $20 billion.
Vanguard and Cryptocurrencies
The second-largest asset manager, Vanguard, manages $9 trillion in client assets. The company’s previous CEO stated that they would remain distant from cryptocurrencies and would not offer them to their clients. However, recent reports suggested that a few major asset managers might make BTC ETFs accessible to their clients. According to the latest statement from Vanguard, the $9 trillion giant will not participate in the crypto ETF game.
Vanguard CEO’s Opinion
Vanguard CEO Salim Ramji clearly stated that they do not want to launch crypto exchange-traded funds. Ramji worked at BlackRock for about 10 years and transferred to Vanguard last month. He was the global head of BlackRock’s iShares and index investments, responsible for managing most of the firm’s client assets. “I will not copy competitors,” Ramji said. “It is important for a company to remain consistent with its identity. But I want more innovation… Vanguard has had active funds since its early days and is one of the largest active management firms. Jack Bogle’s ‘cost matters hypothesis’ is something we will always keep in mind. We will not launch crypto ETFs.”
While BlackRock is actively investing in cryptocurrencies, Vanguard has decided to stay away from this market. This contrasting vision of the two largest asset managers highlights the diversity of approaches in the finance industry.
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