Morgan Stanley Taps Digital Asset Lab for Secure Crypto Testing
Morgan Stanley has established a 'digital asset lab' to test crypto products in a secure and compliant environment. The lab is designed to explore new areas of digital assets, including stablecoins, tokenized assets, decentralized finance apps, and central-bank digital currencies. This move complements the bank's broader push into digital assets, which includes its recently launched Morgan Stanley Bitcoin Trust ETF.
The fund, launched in April, now manages over $871 million in assets. According to Megan Brewer, head of firmwide market innovation and labs at Morgan Stanley, the lab provides a 'secure, compliant and segregated environment' for testing these new products. The team is also working on tokenized deposits, central-bank digital currencies, and tokenized money market funds.
Morgan Stanley's move into crypto has been gradual, with the bank starting to offer wealthy clients exposure to Bitcoin via funds like those from Galaxy Digital in 2021. The bank's CEO and Chairman, Ted Pick, has stated that they are working with regulators to see how they can safely offer crypto products.