Another of the world’s largest investment banks is quietly building a product that will allow its clients to trade bitcoin, at least indirectly.
Citing a person familiar with the matter, bloomberg reports that Morgan Stanley, the sixth-largest bank in the U.S. by assets, is creating a proprietary derivatives product that will give traders “synthetic exposure” to the price of bitcoin
From the report:
“The U.S. bank will deal in contracts that give investors synthetic exposure to the performance of Bitcoin, said the person, who asked not to be identified because the information is private. Investors will be able to go long or short using the so-called price return swaps, and Morgan Stanley will charge a spread for each transaction, the person said.”
The report further indicated that Morgan Stanley, whose CEO — James Gorman — said earlier this year that the firm won’t let customers trade cryptocurrency directly through the bank, is “technically prepared” to begin offering these bitcoin swaps, pending the completion of an internal approval process and demand from institutional investors.
Note: This document with all the information in it is shared here to boost our knowledge of cryptocurrency , the original document can be found here
THANK YOU FOR VISITING MY BLOG TODAY
I'M STILL YOUR BOY @suxpect