The move would position the company alongside Robinhood, Fidelity and others
Morgan Stanley may soon expand its offerings to include cryptocurrency trading on its E-Trade platform. Reports suggest the decision is influenced by expectations of a more favorable regulatory landscape for digital assets under the incoming administration of President-elect Donald Trump. The new administration has indicated plans to promote crypto-friendly policies, potentially making the US a global hub for cryptocurrency.
Adding cryptocurrencies to E-Trade would mark a significant shift for Morgan Stanley, which acquired the brokerage in 2020. With over 5.2 million accounts and $360 billion in assets, E-Trade could become one of the largest traditional brokerages to offer crypto trading, challenging established platforms like Coinbase.
This move would align Morgan Stanley with competitors such as Robinhood, Fidelity, and Interactive Brokers, which already support digital asset trading. Charles Schwab has also announced plans to enter the space soon, highlighting the growing acceptance of cryptocurrencies in traditional financial markets.
Crypto trading has proven lucrative for online brokerages. Robinhood’s third-quarter results in 2024 showed impressive growth, with a 112% increase in crypto trading volume and a 165% rise in revenue, totaling $61 million. These figures underscore the growing demand for digital assets among retail investors, making the addition of crypto trading an attractive prospect for E-Trade.
Morgan Stanley has been proactive in embracing cryptocurrency compared to other wealth managers. In 2024, it authorized its advisors to recommend Bitcoin exchange-traded funds, offering clients access to funds like BlackRock’s iShares Bitcoin Trust and Fidelity’s Wise Origin Bitcoin Fund.
With $3.75 trillion under management, Morgan Stanley’s entrance into crypto trading through E-Trade could signal a broader shift in the industry, bridging the gap between traditional finance and digital assets.
Editor at the Big Blind, is a rising star in gambling journalism with a decade of experience, focusing on clear and accessible communication for a diverse audience.
