Morgan Stanley to Offer Bitcoin ETFs to Wealthy Clients

In a significant move for the cryptocurrency investment landscape, Wall Street powerhouse Morgan Stanley (MS) has announced that its financial advisers will start offering bitcoin (BTC) exchange-traded funds (ETFs) to affluent clients beginning Wednesday. This development was reported by CNBC, which highlighted that Morgan Stanley is enabling its network of over 15,000 advisers to facilitate the purchase of shares in BlackRock’s IBIT and Fidelity’s FBTC, according to sources familiar with the situation.

To qualify for these investment opportunities, clients must possess a net worth of at least $1.5 million. The recent approval of spot bitcoin ETFs in the U.S. back in January has generated optimism that these new financial products could attract substantial investments from institutional players in the cryptocurrency sector. However, it is important to note that large firms like Morgan Stanley typically engage in exhaustive compliance and review processes before introducing new funds to their clientele.

This decision comes as a direct response to increasing demand from clients who are eager to explore cryptocurrency investments. Morgan Stanley, which manages an impressive $1.5 trillion in assets, had previously shown interest by holding $269.9 million in Grayscale’s Bitcoin Trust (GBTC) as of March 31. This suggests that the bank was anticipating the opportunity to offer ETFs to its clients sooner or later.

As of now, Morgan Stanley has not provided a comment to CoinDesk regarding this new offering, but the financial community is closely watching how this will unfold, especially in light of the growing interest in digital assets among high-net-worth individuals.