Morgan Stanley Connects Conventional and Digital Assets Through 2026 Cryptocurrency Initiative

Morgan Stanley plans to introduce cryptocurrency trading for individual investors via its ETrade platform in the first half of 2026, representing a major step forward in its digital asset approach. According to an internal memo cited by CNBC Morgan Stanley Plans to Offer Crypto Trading Though E-Trade Next Year [ 1 ], this initiative highlights the bank’s dedication to bringing crypto into mainstream wealth management. Jed Finn, who leads Morgan Stanley’s wealth management division, called the move a “transformative moment” for the sector, noting the increasing interest from clients to oversee both traditional and digital assets within a single platform Morgan Stanley Plans to Offer Crypto Trading Though E-Trade Next Year [ 1 ].

The bank is partnering with Zerohash, a startup specializing in crypto infrastructure, to manage liquidity, custody, and settlement for the new service.

has also acquired a stake in Zerohash, demonstrating its commitment to building digital asset infrastructure Morgan Stanley to Introduce Retail Cryptocurrency Trading [ 4 ]. The initial rollout will feature (BTC), (ETH), and (SOL), with intentions to add more cryptocurrencies over time Morgan Stanley to Introduce Retail Cryptocurrency Trading [ 4 ]. This transition from indirect exposure—such as third-party Bitcoin funds—to direct crypto ownership mirrors a wider industry movement toward giving retail investors direct access to digital assets Morgan Stanley Plans to Offer Crypto Trading Though E-Trade Next Year [ 1 ].

A central part of Morgan Stanley’s plan is the creation of its own digital wallet, which will safeguard clients’ crypto assets. This wallet will not only support cryptocurrencies but also tokenized forms of conventional assets like stocks, bonds, and real estate Morgan Stanley to Introduce Retail Cryptocurrency Trading [ 4 ]. Tokenization, which involves turning assets into digital tokens on a blockchain, is expected to boost liquidity, speed up settlements, and simplify portfolio management. Finn pointed out that tokenized assets could provide “instantly yield-bearing” cash alternatives, a feature not available in traditional finance.

This strategy fits within Morgan Stanley’s broader goal to stay ahead in the fast-changing wealth management sector. In 2024, wealth management made up nearly half of the bank’s total revenue, making it more dependent on this area than competitors like Goldman Sachs Morgan Stanley Plans to Offer Crypto Trading Though E-Trade Next Year [ 1 ]. The bank’s move into direct crypto trading follows similar efforts by rivals such as Robinhood and Interactive Brokers, who already earn substantial income from digital assets. Experts believe Morgan Stanley’s entry could shift industry dynamics, especially as younger clients increasingly seek seamless management of both traditional and digital investments.

Changes in regulations during the Trump administration have also sped up institutional adoption of cryptocurrencies. By taking an active approach, Morgan Stanley positions itself as a frontrunner in Wall Street’s digital evolution. After the announcement, the bank’s shares rose 1.93% in early trading, signaling investor optimism about its strategic direction. So far this year, the stock has climbed 27.8%, reflecting strong market approval for its digital asset plans.

This launch is more than just a new product—it represents a fundamental shift in how wealth management is envisioned. By adopting tokenization and blockchain, Morgan Stanley aims to offer a unified platform where clients can oversee a wide range of assets in one place. Finn described crypto trading as just the “tip of the iceberg,” with long-term ambitions to use distributed ledger technology (DLT) to transform asset management efficiency Morgan Stanley to Introduce Retail Cryptocurrency Trading [ 4 ]. As the $3.9 trillion crypto market continues to grow, Morgan Stanley’s integration of digital assets may help establish it as a key link between traditional finance and the future of wealth management.