Morgan Stanley Allows Financial Advisors to Recommend BlackRock and Fidelity Bitcoin ETFs
Morgan Stanley, the largest wealth manager in the United States, will soon allow its 15,000 financial advisors to recommend Bitcoin Spot ETFs to their clients, according to a CNBC report.
Starting on August 7th, Morgan Stanley’s wealth managers will be able to advise eligible clients to purchase shares of two BTC ETFs: the iShares Bitcoin Trust (IBIT) from BlackRock and the Wise Origin Bitcoin Fund (FBTC) from Fidelity. Other crypto ETFs, including recent Ethereum ETFs, have not yet been approved.
Morgan Stanley is a leading investment firm, with its advisory network managing around $3.75 trillion, including $1 trillion in self-managed client accounts. In total, Morgan Stanley manages approximately $6.2 trillion.
The company’s 15,000 financial advisors can begin soliciting eligible clients to invest in two Bitcoin ETFs traded on the stock exchange starting Wednesday.
A Paradigm Shift for Crypto ETFs and Growth Potential
BlackRock and Fidelity Bitcoin ETFs stand out as preferred products among BTC ETFs. They are gaining adoption not only among wirehouses like Morgan Stanley but also among independent financial advisors.
Morgan Stanley’s acceptance marks a historic milestone for crypto. So far, the largest financial advisory firms, known as wirehouses, have been hesitant to adopt crypto ETFs.
In addition to Morgan Stanley, these wirehouses include names such as Bank of America, JPMorgan Chase, and Wells Fargo, managing trillions of dollars and setting high standards for the adoption of new financial products.
While crypto valuations have soared, they have struggled to extend beyond their core base. Of the approximately $60 billion invested in crypto ETFs in 2024, most come from native crypto retail investors and hedge funds.
According to Kyle DaCruz, Director of Digital Asset Products at VanEck, an asset manager sponsoring crypto ETFs, conquering this market segment is a ‘game changer’.
