Morgan Stanley is trying to get a dozen of its funds to invest in Bitcoin Exchange-Traded Funds (ETFs). This is their first move into the bitcoin market. People will invest in different ways after this major change.
This is a significant shift for the American global investment bank in terms of its plans. It shows that digital products are getting more accepted in the real world of currency.
Morgan Stanley sent a document to the U.S. Securities and Exchange Commission (SEC) that explains how its Advantage, Asia Opportunity, Counterpoint Global, Developing Opportunity, Global Insight, Global Opportunity, Global Permanence, Growth, Inception, International Advantage, International Opportunity, and Permanence Portfolios will use these ETFs to invest in Bitcoin in a roundabout way.
Morgan Stanley Acknowledges Bitcoin’s Volatility
The bank has said that investments will be restricted, though. This shows that they are being careful with this new type of asset.
Morgan Stanley has, for example, admitted that these kinds of investments come with risks by saying that they are similar to investing directly in Bitcoin. The filing makes it clear that the bank is aware of how volatile and unsure the cryptocurrency market is, but it is still looking for ways to make currency.
This brave move comes after rumors that Morgan Stanley might soon allow its brokers to actively seek buyers for Bitcoin ETFs, which would be different from the current policy that only allows trades that are not requested. If this comes true, there could be an enormous market for these products, which would make Bitcoin look even more like a good investment to regular people.
This week has been rough for Bitcoin ETF flows, but Bernstein, a top brokerage firm, is still positive about the future of the cryptocurrency. Bernstein thinks that the recent drops in Bitcoin prices are only temporary and tells investors to keep their eyes on the long-term promise of this digital gold. He wants the price of a Bitcoin to reach $150,000.
