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coinpedia 2025-01-02 17:57:59

Morgan Stanley’s E-Trade To Consider Crypto Trading Services

The post Morgan Stanley’s E-Trade To Consider Crypto Trading Services appeared first on Coinpedia Fintech News In the latest development, Morgan Stanley’s E-Trade is reportedly considering offering crypto trading services. The firm’s online stock trading company is considering the idea, as per a report from The Information Notably, the firm currently offers indirect exposure to digital assets through investment products such as futures, ETFs, and stocks related to crypto assets. These include Grayscale Bitcoin Trust (GBTC) and ProShares Bitcoin Strategy ETF (BITO). If implemented, the move would establish E-Trade as one of the largest traditional financial institutions to enter the digital asset trading space, creating direct competition with established crypto exchanges like Coinbase and would turn out to be a massive entry point for mainstream investors interested in trading these assets. The Trump Effect? The decision to explore cryptocurrency services is linked to the expected return of US President-elect Donald Trump. Notably, the crypto industry anticipates that the Trump administration will likely bring favorable regulation to the crypto sector. Institutions like Morgan Stanley are among those who are likely to benefit from these changes. Morgan Stanley has shown strong support for crypto, disclosing ownership of $272 million in spot Bitcoin ETFs by the end of Q3. While it made up only 2% of the firm’s $1.3 trillion assets, it was a significant bet. This investment paid off, as BlackRock’s iShares Bitcoin Trust (IBIT) was later hailed as the greatest ETF launch in history. Growing Institutional Trend The move comes amid the trend of institutional adoption of crypto assets. Other institutions like Goldman Sachs have also indicated their interest in the crypto market contingent on clear policy guidance. European financial institutions are also moving into the sector after the implementation of the Markets in Crypto-Assets (MiCA) regulation, which took full effect on December 30, 2024. Similarly, Spanish banking giant BBVA, through its Turkey-based subsidiary Garanti BBVA Kripto, is all set to roll out crypto trading services to the public after completing a pilot program.

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