Morgan Stanley Considering Spot Bitcoin ETFs for Brokerage Platform: Report
Morgan Stanley is considering adding spot Bitcoin exchange-traded funds (ETFs) to its brokerage platform and is currently in the process of conducting due diligence, according to a CoinDesk report citing two sources familiar with the matter.
There has been increased interest in spot Bitcoin ETFs after the U.S. Securities and Exchange Commission approved almost a dozen products in January.
According to the CoinDesk report, a source said Morgan Stanley, which is among the largest U.S. broker-dealer platforms, has been evaluating offering spot Bitcoin ETFs to clients since the SEC approved the products in January.
Since then U.S. spot Bitcoin ETFs have seen $7.7 billion in daily trading volume, an all-time high. BlackRock’s IBIT has doubled its personal record on the third consecutive day with $3.3 billion in trading volume. Fidelity’s spot Bitcoin ETF also doubled its previous record with $1.4 billion trading volume on the same day, Bloomberg analyst James Seyffart posted on X.
“$IBIT took in a record $612 million on its own. On a net basis, the group took in $673 million. This beats the day 1 record of $655 million. (still waiting on $BTCO)” added Seyffart.
BlackRock’s IBIT has crossed $9 billion in assets, posted Seyffart on X.
It’s no secret that traditional financial institutions are going further down the crypto rabbit hole when it comes to exploring crypto. As reported in 2021, Goldman Sachs, ICAP, JPMorgan, and UBS were all purchasing exchange-traded products (ETP) that offer exposure to cryptocurrency for clients, according to Bloomberg terminal data reviewed by CoinDesk.
It seems major banks such as Morgan Stanley are experiencing FOMO and want a slice of the action. There could be a new wave of investment banks
