Morgan Stanley, a major Wall Street bank, will allow its employees to use their smartphones. financial advisors to offer Bitcoin ETFs to certain clients, CNBC reports. Beginning Wednesday, BlackRock’s iShares Bitcoin Trust or Fidelity’s Wise Origin Bitcoin Fund can be pitched to clients who qualify.
Morgan Stanley informs Wealth Advisors They Can Pitch #Bitcoin CNBC’s report on ETFs. pic.twitter.com/2tgSeR2yEm
— Bitcoin Magazine (@BitcoinMagazine) August 2, 2024
Morgan Stanley made the move in response to a high demand from clients for Bitcoin. The bank, however, is maintaining its cautious approach towards Bitcoin. According to CNBC, only clients with net worths of more than $1.5 million and a tolerance for high risks, as well as an interest on speculative investment, will be considered eligible. Investments are restricted to brokerage accounts that have a taxable component, but not retirement plans. Banks will closely monitor client Bitcoin holdings in order to avoid excessive exposure to volatile assets.
The report states that advisors at other major banks such as Goldman Sachs JPMorgan Bank of America and Wells Fargo are not allowed to pitch bitcoin ETFs until clients specifically request them.
This is an important step toward the institutionalization of bitcoin within traditional finance. Morgan Stanley’s offer of these ETFs shows the integration of Bitcoins into mainstream finance. This sets an important precedent that other wealth management companies can follow.
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Source: bitcoinmagazine.com