What is the coverage of Vanguard SIPCs for cryptocurrencies?
Mohd Ajaz Mohd AjazDec 24, 2021 · 3 years ago3 answers
Can you provide more details about the coverage of Vanguard SIPCs (Securities Investor Protection Corporation) for cryptocurrencies? How does it work and what does it cover?
3 answers
- Dec 24, 2021 · 3 years agoVanguard SIPCs do not provide coverage for cryptocurrencies. SIPCs are designed to protect investors in the event of the failure of a brokerage firm, but they do not extend their coverage to digital assets like cryptocurrencies. Therefore, if you hold cryptocurrencies with Vanguard, they will not be protected by SIPCs.
- Dec 24, 2021 · 3 years agoUnfortunately, Vanguard SIPCs do not cover cryptocurrencies. SIPCs primarily protect investors in traditional securities, such as stocks and bonds. As cryptocurrencies are considered to be a separate asset class, they fall outside the scope of SIPCs coverage. It's important to keep this in mind when considering the risks associated with investing in cryptocurrencies.
- Dec 24, 2021 · 3 years agoWhile Vanguard SIPCs provide coverage for traditional securities, they do not extend their protection to cryptocurrencies. However, it's worth noting that there are other custodial services and insurance options available in the cryptocurrency industry that offer coverage for digital assets. It's always a good idea to research and choose a reputable custodian or exchange that provides adequate protection for your cryptocurrencies.
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