Vanguard mentioned digital currencies in the newly filed fund documents with the U.S. SEC, aiming to track the performance of a benchmark index

ChainCatcher news, according to CoinGape, Vanguard mentioned digital currencies in its newly filed fund documents with the U.S. SEC. The fund is called Vanguard Specialized Funds and aims to track the performance of a benchmark index. In the submitted documents, Vanguard referred to digital currencies and provided some key definitions related to cryptocurrencies.

Vanguard describes "digital currency" as a digital asset that serves only as a store of value, medium of exchange, or unit of account. It is further classified as a digital asset not issued or guaranteed by any jurisdiction, central bank, or public institution. According to the documents submitted by Vanguard, digital assets rely on algorithmic technology to facilitate the regulation of the generation of new units of digital assets.

It is noteworthy that the company continues to distinguish between digital currencies and digital security tokens. The latter group includes any digital assets that are neither digital currencies nor digital utility tokens. The documents submitted to the U.S. SEC state that the value of digital security tokens typically derives primarily from or represents their rights. The final group of assets described by Vanguard is digital utility tokens, which are characterized as digital assets that provide access to specific networks, products, or services.