According to the recent statement by UBS and Citigroup, their clients will now have the opportunity to trade shares of recently approved Bitcoin ETFs. The approval came from the U.S. Securities and Exchange Commission (SEC), with certain conditions in place to ensure a secure trading environment.
Although this development is a positive one, UBS and Citigroup have also implemented certain restrictions. They will only allow clients with accounts demonstrating a “low risk tolerance in terms of fulfillment of obligations and servicing of assets” to engage in transactions with Bitcoin ETFs.
The addition of Merrill Lynch to this list of banks offering access to Bitcoin ETFs is also a possibility. While Merrill management has taken a cautious approach in evaluating the effectiveness of trading these digital assets, it could soon follow suit and embrace this new investment opportunity.
This decision by UBS and Citigroup has effectively debunked rumors suggesting that prominent players in the credit and financial industry, including investment giant Vanguard, would block their clients from accessing Bitcoin ETFs. Vanguard, which holds the title of the second-largest asset manager globally, has previously stated that the digital products were not aligned with their investment philosophy.