Morgan Stanley Pioneers Bitcoin Education in Financial Industry

Morgan Stanley's entry into the world of cryptocurrency has been marked by a significant step forward for the industry. The launch of its bitcoin exchange-traded product (ETP), the Morgan Stanley Bitcoin Trust (MSBT), has shown promise, with over $100 million in initial flows. However, according to Amy Oldenburg, head of digital assets at Morgan Stanley, this is just the beginning.

Oldenburg highlighted the need for education on bitcoin and its distinct characteristics from other cryptocurrencies. She noted that many investors still associate bitcoin with its early history of use by bad actors, making it challenging to allocate to it. This 'education problem' runs deep, according to Oldenburg, and is a major hurdle in the industry's growth.

To address this issue, Morgan Stanley is taking a comprehensive approach. The bank is rolling out internal training for financial advisors to enable them to speak confidently about bitcoin with their clients. Additionally, Oldenburg's team spends considerable time on the phone walking clients through models and allocation frameworks to ensure they understand the product and its benefits.