Vanguard is reportedly considering allowing clients to gain access to third-party crypto ETFs, signaling a rare shift from its conservative approach to digital assets. The move comes as regulators and banks across Wall Street increasingly embrace the sector.

Vanguard Signals Shift Toward Crypto ETFs

Vanguard, the world’s second-largest asset manager with $10 trillion in assets, is preparing to allow brokerage clients access to third-party crypto ETFs, according to reporting by Crypto in America. The move signals a potential reversal of the firm’s longstanding caution toward digital assets.

The development comes as pressure grows from Wall Street competitors and Vanguard’s own client base. Fidelity Investments and Charles Schwab already provide crypto-related products, while Morgan Stanley’s E*Trade is also planning, through its partnership with Zerohash, to launch retail trading of Bitcoin, Ethereum, and Solana in 2026. With adoption across the sector building momentum, Vanguard’s absence from the market has become more difficult to sustain.

Leadership and Strategy Under Salim Ramji

Leadership plays a key role in this change in stance. CEO Salim Ramji, who assumed the position last year after more than a decade at BlackRock. When Ramji took charge at Vanguard, many expected his background to push the firm closer to digital assets, although he maintained that Vanguard will not develop its own ETFs.

Sources also reportedly cited that Vanguard is already engaged in external discussions to prepare the ground for such a move. The sources described this process as careful and deliberate, with no set timeline and no clear decision yet on which funds might be included.

What remains certain is that Vanguard has no plans to create its own ETF.

Institutional Momentum in Crypto Finance

The shift in regulatory environment adds further weight to the timing of the decision. In 2025, US regulators have moved beyond easing restrictions to actively encouraging crypto adoption, with the SEC approving a new standard to speed up ETF approvals and authorizing index funds linked to top digital assets.

Developments across banking also highlight the pace of change. JPMorgan Chase announced in June that it will accept shares of BlackRock’s iShares Bitcoin Trust (IBIT) as collateral for loans and will count crypto holdings when assessing the net worth of certain clients.

In the ETF market itself, competition is strengthening as  Fidelity’s Ethereum ETF has emerged as one of the leading performers, backed by the firm’s research pointing to a possible Bitcoin supply crunch driven by accumulation from long-term holders and public companies. BlackRock has also continued to draw inflows, with its Ethereum ETF now surpassing $17 billion in assets under management.

For Vanguard, granting access to third-party crypto ETFs could shift its position in the broader ETF landscape. The step would give clients exposure to what they are increasingly demanding and help prevent the firm from falling behind competitors that have already embraced crypto.