Morgan Stanley to Launch Spot Crypto Trading on E*Trade by 2026

By: cryptonewsland|2025/05/02 12:45:01
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Morgan Stanley will offer spot crypto trading on E*Trade by 2026 giving retail users direct access.Policy changes and relaxed regulations push Morgan Stanley to expand crypto services to E*Trade users.E*Trade’s new platform Power ETrade Pro integrates crypto trading for active retail investors.Morgan Stanley plans to enable spot crypto trading on E*Trade by 2026. The service is under development and gaining traction. It will allow retail investors to buy and sell actual digital assets like Bitcoin and Ethereum. https://twitter.com/BitcoinMagazine/status/1917895168117846510Currently, E*Trade users can only access crypto through ETFs, trusts, and futures. The new feature will offer direct crypto access. It comes as part of a broader effort to expand digital asset offerings across traditional financial platforms.Policy Shifts Accelerate DevelopmentInternal planning began after U.S. policy changes in late 2024. The Trump administration reversed several crypto restrictions, leading to more regulatory support. This shift encouraged banks to explore new crypto services.Morgan Stanley saw an opportunity to enter the retail crypto market through E*Trade. Executives believe the move will help meet client demand and align with emerging policies. With over 5 million retail users, E*Trade offers a large base for the rollout.Partnerships to Support Crypto InfrastructureMorgan Stanley will rely on external crypto firms to manage custody, fiat conversion, and backend systems. These firms will help build a secure and scalable system for E*Trade’s new crypto services.The initiative also benefits from relaxed accounting and regulatory rules. The SEC repealed previous standards that made crypto custody difficult for banks. That change reduced entry barriers and helped firms act faster.Rising Competition in Retail CryptoThe move positions E*Trade to compete with crypto-enabled platforms like Robinhood and Coinbase. These firms already let users trade crypto directly. Morgan Stanley aims to catch up by integrating spot trading into its services.Other financial firms are also joining the shift. Fidelity already provides crypto trading and custody. Charles Schwab offers crypto ETFs and is exploring spot trading. The broader market shows rising interest in direct digital asset access.New Platform to Support Crypto IntegrationAlongside crypto trading, E*Trade is launching Power ETrade Pro. This advanced platform is built for active traders. It offers six customizable screens, professional tools, and a downloadable desktop application.Power ETrade Pro will integrate crypto trading after launch. The full release is expected by June 2025. The system aims to support both new and experienced investors with robust features.Morgan Stanley plans to unite digital and traditional assets under one roof. This integration will give E*Trade users a comprehensive investing platform. The strategy reflects a wider trend toward crypto adoption in mainstream finance.

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