- Morgan Stanley plans to launch spot crypto trading on E*Trade by 2026, expanding beyond ETFs.
- Charles Schwab aims to offer direct crypto trading within the next 12 months.
- Regulatory rollbacks under Trump have encouraged traditional banks to move into the crypto space.
Two of Wall Street’s heavyweight firms, Morgan Stanley and Charles Schwab, are making moves to bring spot crypto trading to their platforms. Morgan Stanley is reportedly targeting a 2026 launch on its E*Trade platform and is exploring partnerships with crypto-native firms to make it happen. Right now, the firm offers crypto ETF exposure to high-net-worth clients—but this new push would open the doors to regular retail investors.
Meanwhile, Charles Schwab appears to be on a similar path.
Schwab Hints at a Near-Term Launch
Schwab CEO Rick Wurster recently confirmed during an earnings call that the company is actively working toward enabling direct spot crypto trading. He suggested the rollout could happen within the next 12 months.
“We’re confident we’ll be a great destination for investors interested in crypto,” Wurster said. “With the changing regulatory landscape, we’re on a good track to make this happen soon.”
The Regulatory Environment Is Warming Up
This shift isn’t happening in a vacuum. The timing coincides with a broader regulatory softening under the Trump administration. In January, the SEC repealed Staff Accounting Bulletin 121, which had previously discouraged banks from holding crypto on their balance sheets.
The Federal Reserve also relaxed its stance, no longer requiring banks to get prior approval for crypto-related partnerships. Agencies like the FDIC and OCC have followed suit, offering new guidance that gives traditional banks more freedom to work in the crypto space.
As the rules continue to shift, crypto-native firms are chasing banking licenses, while legacy players like Morgan Stanley and Schwab are working fast to stay competitive in this rapidly evolving market.
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