Morgan Stanley is now allowing its wealth advisors to pitch Bitcoin ETFs to its clients. According to a CNBC report Friday, the bank will soon grant this permission, which is a first among major Wall Street banks.
The firm’s 15,000 or so financial advisors can solicit eligible clients to purchase shares of two exchange-traded bitcoin funds starting August 7, CNBC says. Morgan Stanley associates will be able to pitch BlackRock’s IShares Bitcoin Trust and Fidelity’s Wise Origin Bitcoin Fund to clients. However, for investors at the bank, it’s important to note that Morgan Stanley is only allowing clients with a net worth of at least $1.5 million to take part in the ETFs. The investments are for taxable brokerage accounts, not retirement accounts, sources told CNBC.
These sources add that while the bank is only opening the door for BlackRock and Fidelity Bitcoin ETFs, they are observing newly approved ETFs on the market. With the recent approval of Ethereum ETFs, it’s possible that Morgan Stanley may consider adding those to the menu for clients in the future if the BTC ETFs succeed right away.
Also Read: XRP & BTC: Peter Brandt’s Alarming Forecast!
In January 2024, the SEC gave approval for the launch of Spot Bitcoin ETFs for trade nationwide. In the first months of trading, the funds performed extremely well, and Bitcoin reached a new all-time-high in March of $73,000. Since then, the asset has withstood ups and downs, and remains around the $63,000 mark.
Despite being down from its all-time high, Bitcoin still has bullish momentum according to experts. The latest news from Morgan Stanley will likely be a catalyst for hype around Bitcoin ETFs. If other banks follow suit and grant permission to pitch Bitcoin ETFs, the asset may garner more demand, thus pumping its price.