As per a filing with the U.S. Securities and Exchange Commission (SEC), Morgan Stanley one of the largest banks in Wall Street holds several shares of the Grayscale Bitcoin Trust (GBTC).

The company has opted for Bitcoin exposure through a regulated investment vehicle. Morgan’s Insight fund holds the largest number of shares, around 928,051.

On June 28th, 2021, when Bitcoin was still trading in the low $30,000s, Morgan Stanley disclosed a big position on the GBTC through their Europe Opportunity Fund. As reported by Bitcoinist, the bank owned 28,298 shares. According to recent SEC filings, the Morgan Stanley Insight Fund, the Morgan Stanley Institutional Fund Inc, the Morgan Stanley Variable Insurance Fund Inc., and the Morgan Stanley Institutional Fund Trust all made indirect investments in Bitcoin have large amounts as well.

The Morgan Stanley Insight Fund, which holds 928,051 shares of the Grayscale Bitcoin Trust for a reported total of $27,665,200.31 forms the most significant crypto investment. While it’s a sign of the bank’s growing interest in cryptocurrencies, the investment represents just 0.34% of the fund’s total assets.

What is indirect investment ?

Indirect investments are those that offer exposure to a product that in turn reflects or depends on the performance of another.

Other banks joined

Banks are more interested in Bitcoin now than ever before. JP Morgan, Goldman Sachs, BNY Mellon, and others have started offering cryptocurrency investments and including positive analysis in their periodic reports. Many countries have taken their first steps in integrating cryptocurrencies into their financial infrastructure. Canada has approved cryptocurrency ETFs. Brazil and Chile have their respective crypto ETFs in the south of the continent, with Brazil leading the way with 4 in total. El Salvador, which in two weeks will begin adopting Bitcoin as legal tender.

In June 2021, Goldman Sachs had offer the facility of trading Bitcoin Futures to its institutional clients. Earlier this week, banking giant Citigroup filed with the U.S. Securities and Exchange Commission (SEC) expressed the desire to trade Bitcoin futures.

Indrani bose

CBW - External Analyst

INDIA