Crypto: Morgan Stanley Achieves Key Milestone

Today, crypto is no longer a curiosity for insiders, but an essential topic. Individuals and financial giants are venturing into it, sometimes with caution. Morgan Stanley, long hesitant, seems to be accelerating its adoption of digital assets. Through collaboration with regulators and strategic investments, the bank is exploring the opportunities offered by Bitcoin and ETFs, marking a turning point in its approach.

Morgan Stanley partners with regulators to expand its crypto offering

Morgan Stanley, under the leadership of its CEO Ted Pick, is poised to take a leap. At the 2025 Davos summit, Pick announced that it is working closely with U.S. regulators, including the Treasury and the SEC, to provide safe crypto solutions.

The goal? Integrate these assets into its portfolio of financial services without conflicting with the strict regulations that govern this still-young sector.

MASSIVE F*CKING NEWS!!!! 🚨🚨🚨🚨

MORGAN STANLEY IS GOING ALL IN ON CRYPTO!!!! 🔥🔥🔥

CEO TED PICK CONFIRMS THEY’RE TEAMING UP WITH TREASURY AND REGULATORS TO MAKE CRYPTO TRANSACTIONS A REALITY!!!! 🇺🇸🇺🇸

BULLISH AF!!!! pic.twitter.com/mgGR4iDpfn

— Kyle Chassé / DD🐸 (@kyle_chasse) January 24, 2025

Since 2024, Morgan Stanley has been offering exchange-traded funds or Bitcoin ETFs, opening a door for institutional investors. The result? The bank holds 188 million dollars in Bitcoin ETFs through more than 5.5 million shares of BlackRock.

But this advancement is not without its bumps. John Reed Stark, former SEC executive, did not mince words:

“Morgan Stanley has voluntarily thrown itself into the lion’s den with this decision.”

The SEC’s in-depth review could slow the bank’s ambitions.

Some key figures to remember:

• 5.5 million shares of Bitcoin ETFs held;
• 188 million dollars invested in BTC;
• Over three years of collaboration with crypto institutions.

If criticisms abound, Morgan Stanley’s determination remains intact, demonstrating a growing commitment in this tumultuous market.

Bitcoin: a risky but strategic bet for Morgan Stanley

The price of bitcoin, currently valued at over 100,000 dollars, is as intriguing as it is divisive. For Ted Pick, the crucial question is whether crypto has reached its “escape velocity,” meaning a point of no return where its legitimacy surpasses its past scandals and volatility.

“The more Bitcoin weathers the storms, the more credibility it gains,” the CEO believes.

Behind this fascination lies a diversification strategy. The introduction of Bitcoin products responds to a growing demand from Morgan Stanley’s high-end clients. But not everything is rosy. Under the Biden administration, banks had to settle for derivative products, unable to touch “physical Bitcoin.”

With a change in administration and a more open approach from Donald Trump, the horizon seems to be clearing.

NEW: “CBDCs hold the potential to establish a unified standard for cross-border payments, which could diminish the reliance on traditional intermediaries like SWIFT and the use of dominant currencies such as the dollar," says Morgan Stanley exec Andrew Peel pic.twitter.com/knlXJoOza2

— Bitcoin News (@BitcoinNewsCom) January 15, 2024

However, Andrew Peel, head of digital asset markets at Morgan Stanley, warns: Bitcoin and central bank digital currencies (CBDCs) could disrupt global systems like SWIFT. A revolution is underway, but with risks.

Last May, Morgan Stanley stated that Bitcoin would never dethrone the dollar. Yet, in the face of headwinds, even Donald Trump might consider tapping into a strategic reserve of Bitcoin to support the U.S. currency. Crypto, more than a trend, is becoming a global issue.