Morgan Stanley, a leading U.S. financial services firm, has initiated filings with the Securities and Exchange Commission to offer ETFs centered on Bitcoin and Solana, marking a significant foray by a prominent traditional bank into the cryptocurrency ETF arena.
This strategic move aligns with Morgan Stanley's recent efforts to broaden crypto access to its entire client base since October, reflecting an intensified commitment to integrating digital assets into conventional investment portfolios. Similarly, Bank of America has set plans to enable wealth advisors to suggest crypto allocations starting in January, illustrating a broader trend among major financial institutions.
Recent regulatory advancements have played a crucial role in expediting crypto adoption within mainstream finance. Under the Trump administration, regulatory clarity improved, notably with the Office of the Comptroller of the Currency's December decision authorizing banks to serve as intermediaries for cryptocurrency transactions. This development narrows the divide between traditional financial institutions and the digital asset ecosystem, facilitating enhanced participation.
Simultaneously, asset managers have observed substantial capital inflows into crypto ETFs. On Monday, BlackRock's iShares Bitcoin Trust led with net inflows amounting to $372.47 million, marking the largest single-day gain for any Bitcoin ETF. The trust currently manages $73.39 billion in assets under management, with a total cumulative inflow of $62.75 billion since its inception.
Other Bitcoin-focused ETFs also registered inflows on the same day. Fidelity Investments' Wise Origin Bitcoin Fund accumulated $191.19 million, while nine of twelve Bitcoin ETFs showed positive net inflows. Bitwise's fund gained $38.45 million, Ark and 21Shares' Bitcoin ETF attracted $36.03 million, and Grayscale's Bitcoin Trust added $17.92 million.
The momentum extends beyond Bitcoin-centric products. Spot ETFs for Ethereum demonstrated substantial buying interest, with $168.13 million in net inflows on Monday. Newly introduced ETFs tracking alternative cryptocurrencies such as XRP, Solana, Dogecoin, and Chainlink similarly registered positive inflows, highlighting diversified investor interest in various digital assets.
According to Nick Ruck, director at LVRG Research, the pervasive demand across major cryptocurrency assets signals enhanced market sentiment. He suggests that sustained price appreciation through 2026 could be possible if institutional engagement and favorable regulatory conditions persist.
In addition, inflows recorded on Monday build upon a strong start to the year on January 2, where Bitcoin and Ethereum ETFs collectively garnered $646 million on the initial trading session of 2026. Analysts attribute this robust influx to factors including the transition from tax-loss harvesting to long positioning in the first quarter, strengthened risk appetite among investors, and increased confidence in regulated crypto investment vehicles.
Market data at the time reflected consistent performance among key cryptocurrencies and ETFs, underscoring the growing interconnection between traditional financial markets and digital asset investments.
This strategic move aligns with Morgan Stanley's recent efforts to broaden crypto access to its entire client base since October, reflecting an intensified commitment to integrating digital assets into conventional investment portfolios. Similarly, Bank of America has set plans to enable wealth advisors to suggest crypto allocations starting in January, illustrating a broader trend among major financial institutions.
Recent regulatory advancements have played a crucial role in expediting crypto adoption within mainstream finance. Under the Trump administration, regulatory clarity improved, notably with the Office of the Comptroller of the Currency's December decision authorizing banks to serve as intermediaries for cryptocurrency transactions. This development narrows the divide between traditional financial institutions and the digital asset ecosystem, facilitating enhanced participation.
Simultaneously, asset managers have observed substantial capital inflows into crypto ETFs. On Monday, BlackRock's iShares Bitcoin Trust led with net inflows amounting to $372.47 million, marking the largest single-day gain for any Bitcoin ETF. The trust currently manages $73.39 billion in assets under management, with a total cumulative inflow of $62.75 billion since its inception.
Other Bitcoin-focused ETFs also registered inflows on the same day. Fidelity Investments' Wise Origin Bitcoin Fund accumulated $191.19 million, while nine of twelve Bitcoin ETFs showed positive net inflows. Bitwise's fund gained $38.45 million, Ark and 21Shares' Bitcoin ETF attracted $36.03 million, and Grayscale's Bitcoin Trust added $17.92 million.
The momentum extends beyond Bitcoin-centric products. Spot ETFs for Ethereum demonstrated substantial buying interest, with $168.13 million in net inflows on Monday. Newly introduced ETFs tracking alternative cryptocurrencies such as XRP, Solana, Dogecoin, and Chainlink similarly registered positive inflows, highlighting diversified investor interest in various digital assets.
According to Nick Ruck, director at LVRG Research, the pervasive demand across major cryptocurrency assets signals enhanced market sentiment. He suggests that sustained price appreciation through 2026 could be possible if institutional engagement and favorable regulatory conditions persist.
In addition, inflows recorded on Monday build upon a strong start to the year on January 2, where Bitcoin and Ethereum ETFs collectively garnered $646 million on the initial trading session of 2026. Analysts attribute this robust influx to factors including the transition from tax-loss harvesting to long positioning in the first quarter, strengthened risk appetite among investors, and increased confidence in regulated crypto investment vehicles.
Market data at the time reflected consistent performance among key cryptocurrencies and ETFs, underscoring the growing interconnection between traditional financial markets and digital asset investments.