$9 Trillion Giant Morgan Stanley Enters the Fray—Is the Era of Borrowing Against Bitcoin Beginning?

▲ Bitcoin (BTC), Wall Street/ChatGPT-generated image

Morgan Stanley, a Wall Street giant at the heart of global finance, is moving beyond simple custody of Bitcoin (BTC) and is embarking on the construction of a comprehensive digital asset financial ecosystem encompassing direct trading, lending, and yield-generating services.

According to a video released on February 27 (local time) by cryptocurrency-focused outlet BeInCrypto, Morgan Stanley, which manages approximately $9 trillion in assets, plans to provide clients with Bitcoin custody, trading, lending, and yield services. Amy Oldenburg, Head of Digital Asset Strategy at Morgan Stanley, officially confirmed during a discussion with Strategy CEO Phong Le that the bank intends to build its own custody and trading solutions. She added that Bitcoin-based yield and lending services are key areas currently under in-depth internal discussion and exploration.

Such moves by Morgan Stanley symbolize that Bitcoin has moved beyond being a mere speculative asset and has become fully integrated as a structural component of the global financial system. The bank has already submitted filings to the U.S. Securities and Exchange Commission to launch spot Bitcoin ETFs, spot Ethereum (ETH) ETFs, and spot Solana (SOL) ETFs in the first quarter of 2026. These efforts align with its long-term vision of expanding its digital asset strategy into decentralized finance and tokenization infrastructure.

Across the broader financial sector, conservative views on digital assets are rapidly fading. According to River data, major banks including Morgan Stanley, Fidelity Investments, and Bank of America are recommending that clients allocate between 1% and 5% of their portfolios to Bitcoin. As regulated and trusted institutions open direct access to Bitcoin, its utility is expanding beyond custody into a means of generating yield.

In preparation for this service expansion, Morgan Stanley has already strengthened its capabilities by significantly increasing hiring of experts in decentralized finance and tokenization infrastructure. Beyond merely offering asset allocation advice, the bank aims to provide one-stop financial services by directly performing the roles of exchanges and custodians. As Wall Street’s vast capital enters the Bitcoin ecosystem directly, the digital asset market’s liquidity and credibility are expected to reach a new turning point.

The digital asset market is now preparing for a new leap forward under the strong backing of institutional finance. If Morgan Stanley’s envisioned Bitcoin-based lending and yield models become a reality, digital assets will solidify their status as financial instruments on par with traditional fiat currencies. Investors worldwide are closely watching how Morgan Stanley’s comprehensive expansion will reshape the digital asset landscape.

*Disclaimer: This article is for investment reference only, and no responsibility is taken for any investment losses resulting from its use. The content should be interpreted solely for informational purposes.*