Morgan Stanley has taken a significant step towards mainstream crypto adoption by expanding access to cryptocurrency investment products across its entire wealth management client base. This marks a notable shift in Wall Street’s stance towards digital assets, especially following the 2024 U.S. election and the subsequent regulatory tone under President Donald Trump’s administration.
Broader Access Across All Account Types
Previously, only high-net-worth individuals with more than $1.5 million in assets and a high-risk investment profile could access crypto funds through Morgan Stanley. Now, starting 15 October, all clients, including those holding retirement accounts, trust accounts, and traditional investment portfolios will be eligible to receive recommendations on bitcoin and ether funds.
This democratisation of crypto exposure puts Morgan Stanley ahead of several traditional financial institutions and aligns it more closely with digital-first trading platforms like Coinbase and Robinhood, which have long offered easy access to digital assets for retail investors.
E-Trade to Enable Direct Crypto Trading
Alongside the expanded fund access, Morgan Stanley has confirmed plans to enable direct trading of bitcoin, ether and solana through its E-Trade platform later this year. This move positions the bank to compete more aggressively in the digital brokerage space, entering a territory dominated by crypto-native firms.
To manage risk, the bank will employ automated monitoring systems designed to prevent clients from becoming excessively concentrated in digital assets. Initially, only crypto funds managed by BlackRock and Fidelity will be available, though Morgan Stanley is reported to be considering additional providers as the market evolves.
A Strategic Post-Election Shift
The decision comes against the backdrop of regulatory recalibration in the United States, with the new administration signalling a more open approach towards digital asset innovation. Morgan Stanley, which oversees an estimated $8.2 trillion in client assets, is clearly positioning itself to capture demand from both traditional and next-generation investors seeking crypto exposure within a regulated institutional framework.
This change also represents a cultural shift within Wall Street, where crypto has moved from a fringe speculative market to a recognised, though still high-risk, asset class worthy of structured portfolio allocation.
Risk Guidance and Portfolio Strategy
Morgan Stanley’s Global Investment Committee has issued guidance recommending that investors interested in digital assets allocate no more than 4% of their portfolio initially, depending on long-term objectives and risk tolerance. Chief Investment Officer Lisa Shalett described crypto as a “speculative and increasingly popular asset class,” acknowledging growing investor interest while maintaining a cautious advisory tone.
By combining widespread access with structured risk controls, Morgan Stanley is signalling a future where crypto plays a defined role in mainstream wealth management, rather than existing solely as a high-risk, outsider asset category.
