Crypto is “Not A Huge Part” of Morgan Stanley’s Business Demand, But CEO says It’s Not Going To Go Away
Morgan Stanley CEO James Gorman’s trust in cryptocurrency is growing, and he doesn’t think it is going anywhere.
“I don’t think crypto is a fad. I don’t think it’s going to go away,” said Gorman during the bank’s third-quarter earnings call with analysts this week.
Meanwhile, the competitor JPMorgan Chief Executive Jamie Dimon sees the leading cryptocurrency as “worthless” and says it will be regulated. Previously, Dimon had called Bitcoin a “fraud.”
“I don’t know what the value of Bitcoin should or shouldn’t be. But these things aren’t going away, and the blockchain technology supporting it is obviously very real and powerful.”
He further explained that the bank doesn’t trade crypto assets directly for its retail clients; however, it does offer them ways to gain crypto exposure through various funds. In the first half of the year, Morgan Stanley confirmed that it offers wealth management clients exposure to Bitcoin through two passive funds.
“For us, honestly it’s just not a huge part of the business demand for our clients.”
“That may evolve and will evolve with it, but certainly it’s not what’s driving our economics one way or the other.”