Financial firms have shown immense interest in diving into the crypto market. It’s no brainer that the giant firms are always trying to dope something new to grab the customers’ attention on them.
It’s been a while that the crypto market has introduced the concept of direct investing in cryptocurrency without owning them. Citigroup has already stepped a bit ahead with their digital asset receipt. While such success of Citigroup has kindled up the market of digital currencies, the giants like Morgan Stanley, Goldman Sachs has started exploring custody products of cryptocurrencies.
As reported by Business Insider, Morgan Stanley is out to offer trading of a derivative product tied to Bitcoin. This New York-based financial service-firm is promptly planning bitcoin swaps to give investors exposure to the digital currency performance without actually owning them.
The firm is ready to launch their product and will release as soon as they find the right amount of demands from industrial clients. Morgan Stanley has been the most bulge-bracket bank to dive deeper into the cryptocurrency market. As per the report, the bank has said it is not trading bitcoin itself. The report also reveals that Morgan Stanley has hired Andrew Peel from Credit Suisse in June as head of digital asset to smooth out their crypto-success.
Meanwhile, Goldman Sachs has already started to trade bitcoin futures and other digital currency products. On the other hand, Citigroup’s digital asset receipt is quite similar to the American depository receipt, which has been around for a decade to give US investors a way to buy foreign stocks.
Despite such huge interest of the firms, the market for such digital assets has dropped sharply this year. Bitcoin is 50% down this year which might become a concern regarding bitcoin’s future aspect.
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