Vanguard Executive Labels Bitcoin Speculative Amid Expanded Crypto ETF Access
The post Vanguard Executive Labels Bitcoin Speculative Amid Expanded Crypto ETF Access appeared on BitcoinEthereumNews.com.
Vanguard’s global head of quantitative equity, John Ameriks, dismissed Bitcoin as a speculative “digital Labubu” due to its lack of cash flow and economic value, yet the firm recently expanded client access to crypto ETFs like those tracking Bitcoin and Ethereum. Bitcoin likened to collectible toys: Ameriks compared it to viral plush items, highlighting absence of compounding characteristics. Volatility concerns persist as Bitcoin trades near $90,000 after a 28.6% drop from October highs. Vanguard now permits trading of crypto ETFs holding Bitcoin, Ethereum, XRP, and Solana, managing $12 trillion in assets. Vanguard dismisses Bitcoin as speculative amid crypto ETF expansion. Explore why experts view it as a digital collectible and what this means for investors in 2025. Stay informed on crypto trends—read more now! What Did Vanguard’s Executive Say About Bitcoin? Vanguard dismisses Bitcoin as primarily speculative, according to John Ameriks, the firm’s global head of quantitative equity. In a recent statement at Bloomberg’s ETFs in Depth conference in New York, Ameriks described Bitcoin as a “digital Labubu,” referencing popular collectible plush toys that lack intrinsic economic value. Despite this skepticism, Vanguard has opened its platform to crypto-linked exchange-traded funds, allowing clients greater access to digital assets after years of caution. Why Is Bitcoin Viewed as Speculative by Financial Experts? Bitcoin’s price movements have historically been driven by scarcity narratives and market speculation rather than consistent cash flows or real-world utility, as noted by Ameriks. He emphasized the cryptocurrency’s short history, which provides insufficient data to establish a robust investment thesis. For instance, while blockchain technology underpins Bitcoin, experts like Ameriks argue it has yet to demonstrate durable economic benefits in everyday applications. Volatility remains a key concern. Bitcoin reached peaks above $126,000 in October before declining approximately 28.6% to around $90,000 by late 2024. This sharp fluctuation underscores the…
