Morgan Stanley to Launch Crypto Trading for E-Trade Customers in 2026

Morgan Stanley is preparing to bring cryptocurrency access to retail investors, starting with customers of its E-Trade platform. The Wall Street giant announced plans to roll out a crypto trading service in 2026 through a partnership with digital assets infrastructure provider Zerohash.

The move represents a significant step in Morgan Stanley’s broader strategy to integrate digital assets into mainstream finance and capture a growing market that has already attracted major competitors.

Expanding Into Digital Assets

The service will initially allow E-Trade clients to trade leading cryptocurrencies, including Bitcoin, Ethereum, and Solana. While the bank has previously offered crypto-related products to institutional investors, this marks its first direct retail-focused push into the market.

The launch comes six years after Morgan Stanley’s $13 billion acquisition of E-Trade in 2020, a deal designed to expand its footprint in wealth management. By introducing crypto trading to E-Trade’s millions of users, the bank is signaling that it sees digital assets as an important part of its long-term strategy to strengthen client offerings.

The Zerohash Partnership

Central to the initiative is Morgan Stanley’s partnership with Zerohash, a crypto startup that has quickly become a key player in digital asset infrastructure. The collaboration will enable Morgan Stanley to provide seamless crypto trading without needing to build the technology from scratch.

On the same day the partnership was announced, Zerohash revealed it had reached unicorn status following a $104 million Series D-2 funding round. The round was led by Interactive Brokers and included major backers such as Morgan Stanley itself and SoFi. Zerohash says the new funding will fuel product development, expand its workforce, and deliver innovative solutions for financial institutions entering the crypto space.

Why Crypto Fits Into Morgan Stanley’s Strategy

Wealth management has become Morgan Stanley’s strongest business segment, generating nearly half of its total revenue in 2024. With U.S. regulators gradually clarifying their stance on crypto, the bank sees an opportunity to diversify its services and compete more aggressively with platforms like Robinhood and Charles Schwab, which already cater to retail investors in digital assets.

The addition of crypto trading via E-Trade could help Morgan Stanley attract a younger, tech-savvy demographic, while also offering existing clients more diversified investment options. Industry analysts say the move could accelerate the normalization of digital assets within traditional banking, particularly if the rollout is successful and expands to additional services.

Looking Ahead

When the service launches in 2026, Morgan Stanley will officially join the ranks of mainstream financial institutions bringing crypto to everyday investors. While questions remain about adoption rates and long-term profitability, the initiative underscores a broader shift: digital assets are no longer seen as a niche market but as a central component of the modern financial system.

If successful, the E-Trade crypto offering could serve as a blueprint for how traditional banks integrate blockchain-based assets into their broader wealth management strategies.