Morgan Stanley to Offer Bitcoin and Crypto Trading to ETrade Clients

Bloomberg reports that the Wall Street giant is in the early stages of planning to add spot Bitcoin and crypto trading capabilities to its ETrade brokerage platform.

Bloomberg reports that major Wall Street firm Morgan Stanley is planning to add spot Bitcoin and crypto trading capabilities to its ETrade brokerage platform, aiming to allow the brokerage's clients to buy and sell popular cryptocurrency.

According to sources familiar with the matter, the project is in the early stages and still subject to change. However, executives at the bank are aiming to launch the initiative sometime next year.

The move would be a significant step for Morgan Stanley as it expands its crypto offerings beyond Bitcoin ETFs, futures, and options, which are currently available to its wealth management clients.

The Trump administration’s more favorable regulatory stance toward Bitcoin and crypto has encouraged major financial institutions to expand their offerings.

If launched, the service would put Morgan Stanley in direct competition with crypto-native exchanges like Coinbase and Kraken. Other traditional finance firms are making similar moves – Charles Schwab has indicated interest in spot Bitcoin and crypto trading, while SoFi is considering expanding its bitcoin and services.

The timing aligns with growing institutional adoption of Bitcoin and crypto, as Bitcoin trades above $96,000 and spot Bitcoin ETFs continue attracting significant inflows. Morgan Stanley’s E*Trade platform could provide an accessible on-ramp for retail investors.