Morgan Stanley’s Q2 2024 results reveal that the bank invested $185 million in spot Bitcoin ETFs. This purchase follows that of Goldman Sachs, which also acquired $420 million in spot Bitcoin ETFs during the same period.
Morgan Stanley Embraces Bitcoin Through ETFs
7 months after the launch of Bitcoin spot ETFs in the United States, these new financial products are finally being adopted by the world's largest institutions.
To date, spot Bitcoin ETFs have accumulated over $17 billion in net inflows, with a record of over $1 billion on March 12, 2024 alone.
💲How to buy Bitcoin (BTC) easily in 2024?
Morgan Stanley's Q2 financial resultsthe 6th largest bank in the United States with over $1 trillion in assets, recently revealed a nearly $185 million investment in spot Bitcoin ETFs.
In total, the company owns:
- 2,778 shares of the Grayscale Bitcoin Trust (GBTC), worth approximately $130,000;
- 26,222 shares of ARK 21 shares Bitcoin ETF (ARKB), or more than $1.5 million;
- 5.5 million shares of the iShares Bitcoin Trust (IBIT), or more than 184 million dollars;
Although with spot Bitcoin ETFs, Morgan Stanley cannot benefit from the decentralization and censorship resistance of the Bitcoin blockchain, these purchases represent the acquisition of approximately 3,150 BTC.
Since August 7, 2024, Morgan Stanley Allows Its 15,000 Financial Advisors to Recommend Bitcoin ETFs to Their Clientsa move that could encourage more investors to buy Bitcoin through these new products.
This purchase of $185 million in Bitcoin ETFs, made before June 30, 2024, could thus have been made with a view to offering these products to its clients.
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Traditional finance adopts Bitcoin almost in spite of itself
Beyond personalities such as Elon Musk or Michael Saylor, who regularly promote Bitcoin, and politicians who seize the subject of cryptocurrency regulation to make it a campaign argument, Many institutions are also adopting Bitcoin.
Recently, Goldman Sachs, the 5th largest bank in the United States, acquired $420 million in spot Bitcoin ETFs, mainly in BlackRock's IBIT and the Fidelity Wise Origin Bitcoin Fund (FBTC).
Additionally, MicroStrategy's Q2 financial results revealed that the Swiss (SNB) and Norwegian (Norges Bank) central banks purchased more than $265 million of MSTR stock, thus becoming the indirect owners of 3,400 Bitcoinsworth $200 million.
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Since the rapid drop below $50,000, the Bitcoin price has stabilized above the $56,000 area, from which it has been bouncing since April 2024. Currently, the cryptocurrency market, like the economy in general, is awaiting a definitive pivot in monetary policy from the Federal Reserve. (FED).
If this pivot comes to fruition, it could become another factor triggering a further rise in Bitcoin's price.
Ledger: the best solution to protect your cryptocurrencies 🔒
Source: SEC
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First attracted by the lure of gain, I am now trapped deep into the rabbit hole. With no way out, I have no choice but to share my knowledge and transmit the passion I have for the blockchain universe. I am also the creator of Adopt a Block, an educational site dedicated to Bitcoin.
Marius Farashi Tasooji
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