In a pointed critique that highlights the divide between traditional finance and cryptocurrency, John Ameriks, Vanguard's Global Head of Quantitative Equity, compared Bitcoin to a "digital Labubu" - the viral plush collectible toy sensation of 2025 - dismissing it as a speculative asset lacking the fundamentals for long-term wealth building.
Speaking at Bloomberg's ETFs in Depth conference in New York on December 12, 2025, Ameriks reiterated Vanguard's longstanding skepticism toward crypto. "It’s difficult for me to think about Bitcoin as anything more than a digital Labubu," he said, emphasizing that the cryptocurrency produces no income, no compounding growth, and no predictable cash flows—core characteristics the firm prioritizes in investments.
What Is Labubu?
Labubu is a mischievous, elf-like monster character created by Hong Kong artist Kasing Lung as part of "The Monsters" series. Turned into collectible figurines and plush toys by Chinese company Pop Mart since 2019, Labubu exploded in popularity in 2025, becoming a global craze.
Sold often in "blind boxes" (where the exact variant is a surprise), these toothy, pointy-eared dolls range from small keychain versions to mega editions, with resale prices soaring due to scarcity and celebrity endorsements from figures like Rihanna, BLACKPINK's Lisa, and Dua Lipa.
The analogy underscores Ameriks' view of Bitcoin as a fad-driven collectible rather than a productive asset, akin to past manias like Beanie Babies or tulip bulbs.
Vanguard's Evolving Stance on Crypto
Vanguard, the world's second-largest asset manager with approximately **$12 trillion** in assets under management as of late 2025, has historically shunned cryptocurrencies. The firm long blocked access to crypto-related products, viewing them as too volatile for its passive, index-focused philosophy.
However, in a significant shift announced earlier in December 2025, Vanguard began allowing clients to trade spot Bitcoin ETFs and select other crypto-linked funds (including those holding Ethereum, XRP, and Solana) on its brokerage platform.
This reversal - effective December 2, 2025 - came after monitoring the performance of U.S. spot Bitcoin ETFs launched in January 2024, which have amassed over $120 billion in assets despite market fluctuations.
Ameriks clarified that this access does not signal endorsement: Vanguard will not launch its own crypto ETFs, provide investment advice on digital assets, or recommend specific tokens. Clients trade at their own discretion, with crypto treated similarly to other non-core assets like gold.
Potential Value in Extreme Scenarios
While dismissive of Bitcoin's current investment merits, Ameriks left the door open for future validation. He noted that Bitcoin could demonstrate non-speculative utility during periods of high inflation or political instability, potentially serving as a hedge if it consistently performs under stress. However, he stressed that Bitcoin's relatively short history provides insufficient data to support such a thesis today.
Ameriks also expressed optimism about blockchain technology itself, highlighting its potential to enhance market infrastructure and efficiency.
Broader Context in a Volatile Market
The comments arrived as Bitcoin traded around $90,000 in mid-December 2025, down sharply from its all-time high above $126,000 earlier in the year - a roughly 28% correction amid broader market pullbacks.
In contrast to rivals like BlackRock (whose spot Bitcoin ETF has become a top revenue driver), Vanguard's cautious approach reflects its investor-owned structure and focus on low-cost, diversified indexing. The decision to enable trading appears driven by client demand and evolving preferences, rather than internal conviction.
Implications for Investors
Vanguard's nuanced position - facilitating access without advocacy - exemplifies the maturing crypto landscape. As spot ETFs prove resilient and attract mainstream flows, even conservative giants are adapting. Yet Ameriks' "digital Labubu" quip serves as a reminder: for traditionalists, Bitcoin remains more novelty than necessity in balanced portfolios.
As the debate over crypto's role in finance continues, Vanguard's stance underscores the tension between innovation and prudence in one of the industry's most influential voices.
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Author: Slava Vasipenok
Founder and CEO of QUASA (quasa.io) - Daily insights on Web3, AI, Crypto, and Freelance. Stay updated on finance, technology trends, and creator tools - with sources and real value.
Innovative entrepreneur with over 20 years of experience in IT, fintech, and blockchain. Specializes in decentralized solutions for freelancing, helping to overcome the barriers of traditional finance, especially in developing regions.
This is not financial or investment advice. Always do your own research (DYOR).
