Morgan Stanley’s Amy Oldenburg on Bitcoin’s Early Journey

Morgan Stanley’s head of digital assets, Amy Oldenburg, emphasized that Bitcoin adoption is still in its early stages during a panel discussion moderated by Tyler Evans.

Oldenburg stated, “We have to start with bitcoin,” referencing its $1.5 trillion market cap and its distinction from the broader crypto landscape.

She noted that many clients still conflate Bitcoin with the entire cryptocurrency market, a key issue the firm aims to address through better education.

Oldenburg identified the education gap as a significant hurdle, as many investors associate Bitcoin with its past usage by bad actors.

She explained, “When clients ask about yield or structured exposure, my team tries to be direct: you can present it as a yield, but the underlying asset is bitcoin.”

Oldenburg underscored the need for clarity in conversations around Bitcoin, saying there is still “so much more work to do.”

Morgan Stanley recently launched its Bitcoin exchange-traded product, the Morgan Stanley Bitcoin Trust (MSBT), into a market they believe is still developing.

In its first week, the MSBT attracted over $100 million in trading volume, indicating strong interest among investors.

However, Oldenburg clarified that the initial flows came exclusively from self-directed accounts, as the fund had not yet been made available on the advisory platform.

Despite announcing a 2-4% crypto allocation recommendation, uptake through advisors has been slow, according to Oldenburg.

She reiterated the importance of education in the market, stating that the product has only been available for a limited time.