Highlights:
Morgan Stanley has joined forces with Zerohash, a company that provides cryptocurrency infrastructure, to allow E*Trade clients to trade crypto tokens starting in the first half of 2026. Zerohash will handle liquidity, custody, and settlement services for all trades.
Jed Finn, Morgan Stanley’s head of wealth management, said the bank will first offer major cryptocurrencies such as Bitcoin, Ethereum, and Solana. Later, they plan to develop a complete wallet solution for their clients.
Morgan Stanley bought E*Trade in 2020 for $13 billion, and since then, it has been part of Morgan Stanley’s retail investment services. At the time, ETrade had more than 5.2 million users and offered a retail-focused platform for trading regulated financial securities, mostly for U.S. clients.
Jed Finn said the bank wants to offer crypto and tokenized assets like cash, stocks, bonds, and real estate. He added that tokenized cash earns interest as soon as it enters the wallet, and other assets will also move toward the same benefit.
E*Trade’s crypto launch is one of Morgan Stanley’s first direct steps into retail digital assets, but the bank has already been growing its role in the sector. Since August last year, Morgan Stanley has allowed its wealth advisers to promote spot Bitcoin exchange-traded funds to eligible clients.
Earlier this year at the World Economic Forum in Davos, CEO Ted Pick also shared that the bank is looking into the transactional side of crypto. Interestingly, Morgan Stanley was not part of the Wall Street firms reported in May as considering a joint stablecoin project. The Wall Street Journal said that JPMorgan, Bank of America, Citigroup, and Wells Fargo were the banks exploring the plan.
For Zerohash, the deal with Morgan Stanley follows a major funding milestone, where the company raised $104 million and achieved unicorn status. The round was led by Interactive Brokers and also included Morgan Stanley, SoFi, and other financial supporters. Zerohash focuses on building infrastructure that lets banks and fintech firms offer crypto products without creating their own trading and custody systems.
The partnership between Zerohash and Morgan Stanley’s E*Trade comes as the U.S. takes a friendlier approach to crypto under President Donald Trump’s pro-crypto policies. New laws like the GENIUS Act have made it easier for brokerage firms and crypto companies to grow their digital asset services.
The U.S. Securities and Exchange Commission (SEC) has also approved new rules for commodity-based trust shares. These rules help speed up the approval process for cryptocurrency ETFs. With the change, exchanges such as NYSE Arca and Cboe BZX can list digital assets without needing case-by-case approvals, cutting down long waiting times.

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