Report: Morgan Stanley ‘Racing’ Offers Bitcoin ETF to All Clients
According to social media reports, Morgan Stanley is working to become the first major U.S. bank to offer spot Bitcoin ETFs to all of its clients.
With $1.5 trillion in assets under management each, Morgan Stanley is one of the largest asset managers in the world. Once Bitcoin ETF trading is fully accepted on that platform, it will be a pivotal moment for institutional Bitcoin adoption.
The report comes from Bitcoin insider Andrew on X and Bloomberg analyst Eric Balchunas.
AndrewInfluential Bitcoin critic Morgan Stanley tweeted that he may announce a Bitcoin ETF listing “days before” rival UBS. He said global banks were urgently discussing adding products.
Update: A few notes below: @Morgan Stanley Run this AM. salty @UBS Posted yesterday. They want to be the first telco to fully approve it. #Bitcoin ETF.
– @Morgan Stanley Could be announced a few days in advance @UBS.
– Interesting things to say from global banks $BTC ETF’s…— Andrew (@AP_Abacus) April 3, 2024
Although initially skeptical, Bloomberg’s Balchunas agreed that the two companies were playing a “compliance game” over approving a Bitcoin ETF.
However, a UBS spokesperson told Bitcoin Magazine that “UBS has no plans to change the terms of offering spot Bitcoin ETFs to customers” and that “the social media reports regarding UBS above are inaccurate” when asked for comment.
The upcoming Morgan Stanley launch will mark a major milestone in the mainstream acceptance of Bitcoin. Morgan Stanley adding BTC ETF trading would be a surprising turnaround after CEO James Gorman said last year that Bitcoin would not have much leverage as an institutional asset class.
Access may be imminent pending rigorous compliance review. However, a green light would still be a watershed moment for Bitcoin.
A major asset manager offering ETF trading would increase confidence in the longevity of Bitcoin and expose millions of new investors to the market. Becoming a leader in Bitcoin ETFs could attract billions of dollars in new client assets. The move also signals growing confidence in the longevity of Bitcoin among the world’s banking elite.
The acceleration of FOMO for giants like Morgan Stanley to offer spot Bitcoin ETFs further demonstrates Bitcoin’s promise. Other asset managers are likely to quickly follow their lead.
As game theory becomes established, Bitcoin’s march towards the mainstream financial system gains irresistible momentum. Significant banking adoption may be closer than many imagine.
