Morgan Stanley abolishes restrictions on Bitcoin ETFs and breaks a taboo

Morgan Stanley, one of the world’s largest wealth managers, has just announced a historic decision: all its clients, including those with retirement accounts, can now invest in Bitcoin ETFs. A first for a major bank, which could accelerate the widespread adoption of digital assets.

Morgan Stanley breaks down barriers and opens access to Bitcoin

Until now, access to cryptos at Morgan Stanley was reserved for an elite group: wealthy clients (over 1.5 million dollars in assets) and taxable accounts only. Starting October 15, 2025, everything will change. The bank will lift these restrictions, allowing all its clients – including those preparing for retirement – to invest in Bitcoin funds via BlackRock and Fidelity.

Why this turnaround? First, a regulatory change. Under the Trump administration, the United States softened its stance on cryptos, making their integration into traditional portfolios easier.

Next, growing demand. Clients, increasingly familiar with Bitcoin and Ethereum, are asking for diversified investment options.

Finally, competition. Fidelity and JPMorgan have already made the move, pushing Morgan Stanley to stay competitive.

The committee considers cryptocurrencies as a speculative but increasingly popular asset class

said Lisa Shalett, Chief Investment Officer for Wealth Management at Morgan Stanley, in an internal report cited by CNBC.

What consequences for the crypto market?

This Morgan Stanley decision could have a domino effect on the entire crypto and financial sector.

1. Accelerated massive adoption 

With millions of clients now eligible, demand for Bitcoin ETFs should explode. Other banks (Goldman Sachs, Bank of America) might follow, lest they miss the crypto train.

2. Pressure on regulators 

US authorities (SEC, Department of Labor) will need to clarify their position on integrating cryptos into retirement plans, especially after past warnings about the risks of these assets.

3. A test for market resilience

If institutional investors like Morgan Stanley allocate funds massively to crypto, it could stabilize prices long term. Or amplify corrections in times of crisis.

Will Bitcoin soar thanks to Morgan Stanley?

The opening of Morgan Stanley retirement and regular client accounts to crypto funds could well act as a catalyst for Bitcoin. With millions of new institutional and retail investors now eligible, demand could significantly increase, supporting prices mid-term.

However, this massive adoption also comes with a risk of increased volatility: if markets correct, massive sell-offs could amplify the declines. Short term, the psychological effect could dominate, with a speculative rise in Bitcoin. But stability will depend on the balance between adoption and regulation.

The Morgan Stanley announcement is a historic turning point. For the first time, a major bank widely opens the doors to crypto for all its clients. An inevitable evolution or a risky bet? If the movement confirms itself, we could witness the gradual integration of digital assets and particularly BTC into traditional finance, which so far underestimates Bitcoin.