The Daily Hodl
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Altcoins
    • Financeflux
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams, Hacks & Breaches
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • Chainwire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise
No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Altcoins
    • Financeflux
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams, Hacks & Breaches
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • Chainwire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise
No Result
View All Result
The Daily Hodl
No Result
View All Result

Morgan Stanley Publishes ‘Rapidly Morphing Thesis’ on Bitcoin, Cryptocurrencies and Blockchain

by Daily Hodl Staff
November 1, 2018
in Bitcoin

In a new 65-page report dated October 31, Morgan Stanley maps out its “rapidly morphing thesis” on Bitcoin, cryptocurrencies and blockchain. From “digital cash” to “store of value,” researchers conclude that Bitcoin is a bona fide institutional asset class.

Morgan Stanley’s research reflects the changing landscape among traditional financial institutions that are becoming increasingly engaged in the cryptocurrency market.

The report reveals that Bitcoin’s classification as a “new institutional investment class” was adopted in 2017, with crypto assets under management increasing since January 2016. Of the estimated $7.11 billion currently being stored, 48% are in hedge funds, 48% are in venture capital and 3% are in private equity.

The number of cryptocurrency funds has soared from 31 in 2014 to an estimated 220 in 2018.

Morgan Stanley’s 7 Phases of Morphing Classification

  • Digital Cash: Untraceable but full Confidence – 2009-2016
  • Incumbent Financial System Antidote – 2010-2017
  • Replacement Payment System – 2010-2017
  • New Fundraising and Capital Allocation Mechanisms – 2015-2018
  • Store of Value – 2017-2018
  • Disruption Advantaged Refuge for Depreciating Currency – Spring 2018-Summer
  • New Institutional Investment Class – 2017-Present

Bitcoin Hard Forks

The report notes that Bitcoin’s seven hard forks are “like stock splits or new class creations.” But, researchers conclude, “unlike a stock split, the fork is not lowering the price per Bitcoin.”

  • 1 Aug 2017 – Bitcoin Cash
  • 24 Oct 2017 – Bitcoin Gold
  • 24 Nov 2017 – Bitcoin Diamond
  • 12 Dec 2017 – UnitedBitcoin
  • 12 Dec 2017 – Bitcoin X
  • 12 Dec 2017 – Super Bitcoin
  • 28 Feb 2018 – Bitcoin Private

Response to Hacks

According to the report, the Wall Street Journal flagged 271 initial coin offerings (ICOs) for having plagiarized investment documents and missing/fake executive teams. These ICOs raised a total of over $1 billion and claimed $273 million worth of losses for investors. The response has been for Coinbase, among others, to “assume bank type responsibilities.”

Emergence of Bitcoin as a New Institutional Class

Key factors

  • Fidelity Digital Asset Services: Crypto trading and storage service
  • Bain Capital: Led $15M Series B in Seed Cx Institutional Trading Platform
  • Genesis Trading: Has lent more than $500M in cryptos since March to institutions – $130M outstanding now
  • Goldman Sachs & Galaxy Digital (Novogratz crypto bank): Invest part of $58.5M round in BitGo (crypto custodian)
  • SETL: Granted license by France to operate CSD
  • Vertex: Invests in Binance for a Singapore-based crypto exchange
  • Coinbase: Raises $500M at $8B valuation to be crypto’s Charles Schwab/Fidelity/Nasdaq
  • Gemini Trust: Hires Nasdaq to conduct market surveillance

What’s preventing more institutional investors from getting involved?

  • Underdeveloped regulation so asset managers don’t want to take on the reputational risk
  • Lack of a custodian solution to hold the cryptocurrency and private keys
  • Lack of large financial institutions and asset managers currently invested

Banks Testing Blockchain

The report lists several banks around the world that are testing blockchain.

Source: Morgan Stanley – Update: Bitcoin, Cryptocurrencies and Blockchain

The researchers do not weigh in on RippleNet, a network of banks and payment providers that are using Ripple’s solutions to send and receive payments around the world.

You can read the full report here.

[the_ad id="42537"] [the_ad id="42536"]
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Submit a Press Release

Industry Announcements

  • Binance Alpha Is Changing the Web 3.0 Game
    May 16, 2025
  • NEXPACE Launches MapleStory N and NXPC Token, Charting a New Chapter for MapleStory Universe
    May 15, 2025
  • GSR Invests in Maverix Securities To Support the Launch of Regulated Digital Asset Structured Products
    May 15, 2025
  • Sportsbet.io Launches One Million USDT Giveaway To Mark Champions League Finale
    May 15, 2025
  • Whale.io Accelerating Towards TGE – Unveils ‘Wager and Earn’ Campaign and Launches WHALE Token Conversion
    May 14, 2025
  • Edgen Launches ‘AI Super App,’ Democratizing Institutional-Grade Crypto Market Intelligence
    May 14, 2025
  • BC.GAME Unveils New Logo, Strengthens Crypto Integration in iGaming Ecosystem
    May 14, 2025
Submit a Guest Post
ADVERTISEMENT
Bitcoin
$105,416.24
$105,416.24
2.21%
Ethereum
$2,563.48
$2,563.48
3.34%
BNB
$651.82
$651.82
1.5%
Solana
$174.74
$174.74
4.04%
XRP
$2.43
$2.43
3.6%

Spotlight

  • Crypto Analyst Says 2025 Will Be the Year Bitcoin Hits Bull Market Peak, Unveils Upside Price Targets for BTC
    May 11, 2025
  • Eight Arrested in Multi-State Bank Fraud Conspiracy That Caused Over $1,500,000 in Losses: DOJ
    May 11, 2025
  • Asset Management Giant BlackRock Held Meeting With SEC To Discuss Crypto Staking, Tokenization and More
    May 11, 2025
  • Brian Armstrong Says Coinbase Considered Putting 80% of Balance Sheet to Crypto, but Decided Against It: Report
    May 11, 2025
DON'T MISS A BEAT
Crypto headlines delivered daily
to your inbox
BTC, ETH, XRP news alert options
By joining The Daily Hodl news list you agree to our
Terms and Conditions and Privacy Policy.
Featured Image: Shutterstock/Billion Photos

Covering the future of finance, including macro, bitcoin, ethereum, crypto, and web 3.

Categories

Bitcoin • Ethereum • Trading •
Altcoins • Futuremash • Financeflux •
Blockchain • Regulators • Scams •
HodlX • Press Releases

 

ABOUT US | EDITORIAL POLICY | PRIVACY POLICY
TERMS AND CONDITIONS | CONTACT | ADVERTISE

JOIN US ON TELEGRAM

JOIN US ON X

JOIN US ON FACEBOOK

COPYRIGHT © 2017-2025 THE DAILY HODL

No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Altcoins
    • Financeflux
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams, Hacks & Breaches
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • Chainwire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise

© 2025 The Daily Hodl