A new decision by Wall Street giant Morgan Stanley may influence an uptick in Bitcoin ETF adoption at a time when the ETFs have been seeing lower volumes of inflows in recent weeks.
According to a news report, Morgan Stanley will implement a new move that could boost crypto adoption. The prominent financial services firm will now enable its brokers to recommend spot Bitcoin ETFs to customers. With around 15,000 brokers, a large chunk of new customers may become new ETF investors. As a result, Bitcoin ETF adoption may also jump because of this.
Morgan Stanley‘s method of popularizing spot Bitcoin ETFs among its users is unique. On the other hand, its competitors, like Merrill Lynch and Wells Fargo, have specific requirements for new customers. For instance, the former allows only customers with more than $10 million in assets to invest in spot Bitcoin ETFs.
Hence, Morgan Stanley’s method of expanding access to ETFs could boost crypto adoption. The bank has already allowed ETF purchases since its approval in January 2024, but it only did so when customers approached it.
A Morgan Stanley executive reportedly said, “We’re going to make sure that we’re very careful about it…we are going to make sure everybody has access to it. We just want to do it in a controlled way.”
This move by Morgan Stanley could help the crypto market in another way. Inflows into ETFs have dipped for a few weeks, leading to Bitcoin’s price stagnating. The inflows could start rising if the bank’s brokers successfully register new ETF investors.
Morgan Stanley has been a pro-crypto commentator with its stance on crypto adoption. This decision is another step in furthering the interests of the crypto sector.
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