In a move that could have far-reaching implications for the cryptocurrency world, Wall Street giant Morgan Stanley is reportedly gearing up to introduce spot bitcoin exchange-traded funds (ETFs). According to sources cited by CNBC, the financial institution is set to allow its team of 15,000 financial advisors to offer these ETFs to select clients.

While several banks, including Goldman Sachs, JPMorgan, Bank of America, and Wells Fargo, have held off from offering spot bitcoin ETFs, Morgan Stanley seems poised to break the mold. The leaked information suggests that the company will impose certain restrictions on potential investors, including a minimum net worth of $1.5 million, a willingness to make speculative investments, and an aggressive risk tolerance. Additionally, clients will have the opportunity to invest in only the two largest spot bitcoin ETFs from BlackRock and Fidelity.

This move comes in the wake of speculations that Morgan Stanley had a strong desire to become the first "wire house" to fully approve bitcoin ETFs. The chief investment officer at Bitwise, a bitcoin ETF issuer, predicted that if the wire houses allowed retail investors, hedge funds, and independent financial advisors to access bitcoin ETFs, it would trigger an even bigger wave in the bitcoin market than the ETF approvals witnessed in January.

Since their debut in January, spot bitcoin ETFs have seen remarkable success, accumulating total net assets of $57.2 billion, with net inflows totaling $17.5 billion, as reported by SoSoValue data. Notably, BlackRock's IBIT fund alone has amassed over $21.5 billion in net assets, solidifying its position as one of the fastest-growing Wall Street ETFs in history. BlackRock's CEO, Larry Fink, who previously criticized bitcoin, publicly praised the digital asset last month, acknowledging its legitimacy as a financial instrument.

Despite this surge in popularity and the impending move by Morgan Stanley, traders currently face challenges with low market liquidity. The bitcoin price has struggled to maintain the momentum it achieved in the first half of 2024. Jag Kooner, the head of derivatives at Bitfinex, believes that the lack of liquidity could be due to current market conditions, stating that "the summer" might be a contributing factor. Kooner predicts that the bitcoin price will range between $61,000 and $70,000, creating an accumulation zone.

With Morgan Stanley about to enter the spot bitcoin ETF fray and the continued volatility in the market, all eyes are on the cryptocurrency space. The potential for more institutional adoption and the growing interest from major financial players could have a significant impact, shaping the future of bitcoin and the wider crypto market.

Note: This article is written based on the provided information and does not include any additional content or sources.