- Morgan Stanley will open access to cryptocurrency funds to all clients, including those with IRAs and 401(k)s, starting October 15.
- This expansion broadens crypto access beyond high-net-worth clients, potentially redirecting a portion of the US$45.8 trillion held in US retirement accounts.
- The bank will initially limit access to Bitcoin funds from BlackRock and Fidelity, with automated systems monitoring exposure.
Investment banking giant Morgan Stanley will open cryptocurrency fund access to all clients starting October 15.
The firm notified advisers that digital asset funds will now be available to investors with individual retirement accounts (IRAs) and 401(k)s, according to a CNBC report. Previously, advisers could only pitch crypto funds to high-net-worth clients with over US$1.5 million (AU$2.36 million) in assets and an aggressive risk tolerance.
The expansion could redirect a portion of the US$45.8 trillion (AU$72 trillion) held in US retirement accounts into crypto markets. IRAs account for about US$18 trillion (AU$28.3 trillion), while 401(k) plans hold roughly US$9.3 trillion (AU$14.6 trillion), according to the Investment Company Institute.
Morgan Stanley oversees about US$6.2 trillion (AU$9.76 trillion) in assets and employs about 16,000 advisers. It will limit crypto access to Bitcoin funds managed by BlackRock and Fidelity, somewhat similar to what they did a year ago when the bank started offering clients access to spot Bitcoin ETF funds.
According to the report, the bank will use automated systems to monitor client allocations to prevent excessive exposure. It’s also reviewing additional digital asset products for future inclusion.
Related: Square Bitcoin: Bringing Crypto to Main Street with Zero-Fee Payments and Seamless Integration
Morgan Stanley Expanding Its Crypto Game
Morgan Stanley, alongside JP Morgan, is now one of the too-big-to-fail financial institutions moving forward with crypto services and products for its clients. The bank even has substantial stakes in BlackRock’s iShares Bitcoin Trust (IBIT) and Michael Saylor’s Strategy, as Crypto News Australia reported.
Global Investment Committee previously advised up to 4% crypto exposure in its “Opportunistic Growth” portfolios and 2% in “Balanced Growth,” while excluding digital assets from income and preservation strategies.
By late September, the bank announced the launch of a dedicated crypto trading service on E*Trade, though that’s scheduled for 2026, and will allow investors to trade Bitcoin, Ethereum, Solana, and other popular crypto assets.
Related: Bitwise Predicts Record $36B Surge in U.S. Bitcoin ETF Inflows by Year-End 2025
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