Morgan Stanley, a major US investment bank, is now allowing eligible clients to lend their Bitcoin holdings to Galaxy Digital in exchange for shares in spot crypto exchange-traded products (ETPs). The arrangement, announced on April 15, 2025, offers lower minimum investment requirements and faster onboarding compared to traditional ETP structures. Clients can benefit from potential yields on their Bitcoin while gaining exposure to ETPs. This move marks a significant step in integrating crypto assets into mainstream financial services, providing a new pathway for institutional investors to participate in the digital asset space without directly selling their holdings.

Key facts

• Morgan Stanley clients can lend Bitcoin to Galaxy Digital.
• In exchange, clients receive shares in spot crypto ETPs.
• New structure offers lower minimums and faster onboarding.
• Clients earn yields on Bitcoin while gaining ETP exposure.
• Institutional adoption of crypto continues to expand.

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