Morgan Stanley owns 28,000 shares of Grayscale Bitcoin Trust

Morgan Stanley owns 28,000 shares of Grayscale Bitcoin Trust

Megabank Morgan Stanley has purchased 28,289 shares of Grayscale Bitcoin Trust through its Europe Opportunity Fund and has been increasingly active in the cryptocurrency space in recent months to meet growing demand from its clients. 

In April, the firm allowed a handful of its funds to invest indirectly in bitcoin through cash-settled futures contracts and Grayscale’s Bitcoin Trust. 

Each fund may invest up to 25% of its assets in bitcoin, according to earlier SEC filings. The Europe Opportunity Fund includes a mix of Europe-based companies in the technology and non-technology space, and other investments.

Morgan Stanley’s increasing interest in bitcoin as an asset class even if, for now, it is keeping the crypto at arm’s length through indirect exposure. In March it debuted bitcoin investment fund products but only for high-net-worth clients.

Bitcoin’s price rose after billionaire Ricardo Salinas Pliego said his bank was working toward becoming the first Mexican lender to accept the cryptocurrency.

The price of bitcoin climbed to $34,805.19 Monday, up 8% from where it stood at 5 p.m. ET Friday, according to CoinDesk. Bitcoin has lost almost half its value since it hit an all-time high of over $63,381.20 in mid April.

Damon Harrison
Market Analyst, IPG Group