Morgan Stanley is entering Bitcoin custody and lending, as Wall Street fully embraces digital asset services

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February 27 News, Wall Street giant Morgan Stanley is planning to launch a comprehensive digital asset service that includes Bitcoin custody, spot trading, lending, and yield generation, further deepening its presence in the crypto finance sector. The firm manages nearly $9 trillion in assets, serving retail investors, high-net-worth individuals, and institutional investors.

Amy Oldenburg, Head of Digital Asset Strategy at Morgan Stanley, revealed that the bank is developing native Bitcoin custody and trading solutions and evaluating Bitcoin-based yield products and collateralized lending models. In a conversation with Strategy CEO Phong Le, she stated that financial services related to Bitcoin are one of the key areas for future exploration.

Previously, the bank had brought in talent focused on decentralized finance and tokenization infrastructure to enhance its digital asset capabilities. In January, Morgan Stanley also submitted applications to the U.S. Securities and Exchange Commission for spot ETFs related to Bitcoin, Ethereum, and Solana, indicating its product line is expanding into mainstream crypto assets.

Research firm River data shows that several large financial institutions, including Fidelity Investments and Bank of America, recommend clients allocate 1% to 5% of their portfolios to Bitcoin.

As regulated banks begin offering Bitcoin custody and lending services, digital assets are gradually integrating into traditional wealth management systems. Wall Street financial institutions expanding their crypto business also provide more compliant and systematic channels for institutional investors to participate in the Bitcoin market.

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