In a surprising turn of events, Bitcoin critic and $10 trillion asset manager Vanguard has become the largest Strategy shareholder, holding the most MSTR shares. The asset manager had previously described BTC as an immature asset class, but is now the largest backer of Michael Saylor’s Bitcoin treasury company.
Vanguard Now Holds The Most MSTR Shares
According to a Bloomberg report, the $10 trillion asset manager is now the largest MSTR shareholder thanks to the firm’s index investing strategy. The asset manager owns over 20 million shares, which represent almost 8% of Strategy’s outstanding Class A common stock.
This development is interesting considering that Vanguard had once declared that Bitcoin isn’t appropriate for long-term investors. The firm also described the flagship crypto as an immature asset class with little history and “no inherent economic value.” Based on this, the asset manager declared that BTC could wreak havoc on portfolios.
However, thanks to its MSTR holdings, the asset manager boasts significant exposure to Bitcoin. As CoinGape reported, Strategy just surpassed the 600,000 BTC milestone and now holds 601,550 BTC.
Shareholders like Vanguard basically hold some BTC per share, thanks to Saylor’s Bitcoin strategy. This strategy has so far paid off despite the asset manager’s reservations about Bitcoin. The MSTR stock has been the best-performing major asset since 2020, surging around 3,400% since then.
Meanwhile, it is worth noting that the asset manager also had the chance to launch a Bitcoin ETF alongside the likes of BlackRock. However, the firm’s CEO at the time, Tim Buckley, declared that they don’t think Bitcoin belongs in any long-term portfolio.
Commenting on Vanguard becoming MSTR’s largest shareholder, Saylor told Bloomberg,
The fact that Vanguard holds such a large stake in Strategy is a powerful signal of growing institutional support for Bitcoin and for Bitcoin Treasury strategies. It reflects the increasing acceptance of Bitcoin as a legitimate reserve asset within the traditional financial community.
“God Has A Sense Of Humor”
In an X post, Bloomberg analyst Eric Bakchunas stated that the fact that Vanguard is now the largest shareholder of MSTR is proof that God has a sense of humor. As part of his commentary, the analyst had noted how the asset manager had chosen this life as an index fund and had to own all the stocks, whether they liked it or not.
Meanwhile, Blachunas also commented on how Saylor and the asset manager share the same HODLer mindset, despite their differing views on Bitcoin. As the analyst noted, Michael Saylor has stated that he has no plans to ever sell the company’s Bitcoin holdings.
Boluwatife Adeyemi
Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across several niches. His speed and alacrity in covering breaking updates are second to none. He has a knack for simplifying the most technical concepts and making them easy for crypto newbies to understand.
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