Despite all the hype surrounding spot a Bitcoin (BTC) exchange traded fund (ETF), two of the biggest issuers in the industry are brushing off the buildup.
As journalists from Bloomberg note, two of the industry’s three largest ETF companies are deliberately sitting out on the bid to introduce BTC to the market.
The two entities — Vanguard and State Street — are poised to miss out on the frothing speculation posed by the asset’s institutional introduction.
Officials from Vanguard said that the company does not intend to offer a spot Bitcoin ETF or any other cryptocurrency-related products. Vanguard believes that the investment attractiveness of cryptocurrencies could be more substantial.
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“Unlike stocks and bonds, most crypto assets lack intrinsic economic value and generate no cash flows. And cryptocurrencies’ high volatility runs counter to our goal of helping investors generate positive real returns over the long term.”
Vanguard Representatives
As for State Street, it is not known precisely why the company does not intend to issue a spot Bitcoin ETF. Yet the firm is home to the $57 billion SPDR gold stock (GLD), the largest commodity ETF backed by stored gold bullion, in an underground vault in London.
While Vanguard Group and State Street remain out of the business, the U.S. Securities and Exchange Commission (SEC) is inclined to give the green light to the launch of spot Bitcoin ETFs. The Commission is conducting intensive consultations with companies that have submitted relevant applications. Experts believe that the decision will be made between January 5 and 10.
Read more: Cathie Wood: spot Bitcoin ETF seen as ultimate endorsement for institutional investors
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