Morgan Stanley’s E*TRADE launches spot crypto trading with Zero Hash
Morgan Stanley’s E*TRADE platform has launched spot cryptocurrency trading, allowing eligible retail clients to buy, sell and hold Bitcoin (BTC), Ether (ETH) and Solana (SOL) through a partnership with crypto infrastructure provider Zero Hash.
Users can view their crypto holdings alongside stocks and other investments within the E*TRADE platform. Support for transferring digital assets into and out of accounts is expected to launch later this year.
E*TRADE’s self-directed business served 8.6 million households and managed about $1.56 trillion in client assets as of March 31, according to Morgan Stanley.
Under the new service, crypto trades carry a 0.5% fee. Custody and transaction services are provided through separate Zero Hash accounts, which are not protected by FDIC or SIPC insurance. Morgan Stanley said it plans to eventually move custody to Morgan Stanley Digital Trust, its national trust bank currently being established.
The launch follows a pilot program that began in May, when the firm tested crypto trading with a limited group of users before expanding access to eligible E*TRADE customers.
Alongside the crypto rollout, Morgan Stanley added fractional share trading, updated its retirement planning tools and introduced new features for its Power E*TRADE Pro desktop platform.
Morgan Stanley expands digital asset offerings
The launch is the latest step in Morgan Stanley’s broader push into digital assets.
In April, the firm introduced a stablecoin reserve service, allowing issuers to hold the assets backing their stablecoins in Morgan Stanley money market funds while earning yield.
The company also launched a spot Bitcoin ETF with a 0.14% management fee, the lowest among US spot Bitcoin ETFs at the time. The fund attracted more than $100 million in net inflows during its first six trading days and has since accumulated about $385 million, according to SoSoValue.
In June, Morgan Stanley also updated filings for its proposed spot Ether and Solana ETFs, setting management fees at 0.14%.
Featured image from: cointelegraph.com