Morgan Stanley, Charles Schwab Corp. to offer crypto trading

Salon - May 2nd, 2025
Open on Salon

President Trump's recent shift towards supporting cryptocurrencies has catalyzed significant changes in the financial landscape, as evidenced by two major Wall Street brokerages, Morgan Stanley and Charles Schwab Corp., preparing to offer cryptocurrency trading to a broader range of clients. Morgan Stanley plans to enable clients to trade bitcoin and ether on its E*Trade platform, while Charles Schwab has announced similar intentions. This marks a notable departure from the cautious stance financial institutions traditionally held towards digital assets due to concerns about regulation, volatility, and security risks. The Federal Reserve, alongside other regulatory bodies, had previously cautioned banks about the risks of engaging with crypto-assets but recently withdrew this guidance to foster innovation.

This development occurs within a broader context of Trump's evolving relationship with cryptocurrencies. Initially a critic, Trump has embraced the industry during his 2024 campaign, accepting donations and promoting crypto-related initiatives. His administration has rolled back previous regulatory crackdowns, dropped cases against top crypto firms, and actively promoted the establishment of a U.S. strategic crypto reserve. This shift has encouraged further integration of digital currencies into mainstream financial services, signaling a potentially transformative period for the industry, despite ongoing debates about regulation and security. The move reflects an increasing alignment between political support and financial innovation, with significant implications for the future of both sectors.

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RATING

6.0
Moderately Fair
Read with skepticism

The article provides a timely and relevant overview of major financial institutions' entry into the cryptocurrency market, highlighting the potential mainstream acceptance of digital assets. It effectively captures the significance of regulatory changes and political influences on the industry. However, the article could improve its accuracy by providing more specific details and source attributions for its claims. Additionally, a more balanced presentation of viewpoints, including the risks and criticisms of cryptocurrencies, would enhance its comprehensiveness and engagement. Overall, the article is well-structured and accessible, but it would benefit from deeper exploration of the controversies and challenges associated with the evolving crypto landscape.

RATING DETAILS

7
Accuracy

The article makes several factual claims about Morgan Stanley and Charles Schwab's plans to enter the cryptocurrency market, which align with recent reports from credible sources. For instance, it states that Morgan Stanley plans to allow clients to trade Bitcoin and Ethereum through its E*Trade platform and that Charles Schwab has similar plans. These claims are consistent with industry reports. However, the article lacks specific details on the timeline and the exact nature of these offerings, which are crucial for full verification. Additionally, the article discusses President Trump's changing stance on cryptocurrencies and regulatory shifts, which are broadly accurate but require further substantiation with direct quotes or official statements. Overall, the article provides a truthful overview but misses some precision and source attribution, particularly regarding regulatory changes and political influences.

6
Balance

The article predominantly focuses on the positive developments in the cryptocurrency market, particularly the involvement of major financial institutions. It highlights the potential mainstream acceptance of digital assets due to these developments. However, it does not equally present counterarguments or perspectives from critics who might emphasize the risks associated with cryptocurrencies, such as volatility, security issues, and regulatory concerns. While it briefly mentions the skepticism from regulators and past criticisms from President Trump, these points are not explored in depth. This imbalance could lead readers to perceive the article as favoring the positive aspects of cryptocurrency adoption without adequately addressing the potential downsides.

7
Clarity

The article is generally clear and well-structured, with a logical flow of information. It starts by introducing the main topic—financial institutions entering the crypto market—and then expands on related developments, such as regulatory changes and political influences. The language is straightforward and accessible to a general audience, although some sections could benefit from additional context or explanation, particularly regarding technical terms or industry-specific jargon. The article maintains a neutral tone overall, but the lack of in-depth exploration of opposing viewpoints slightly detracts from its clarity. Providing more background on the risks and criticisms of cryptocurrencies would enhance the article's comprehensiveness and clarity.

5
Source quality

The article references Bloomberg reports and statements from major financial institutions, which are credible sources. However, it lacks direct citations or links to these sources, making it difficult for readers to verify the claims independently. The article also mentions statements from President Trump and regulatory bodies without providing specific sources or direct quotes, which affects its reliability. Additionally, the absence of diverse viewpoints or expert analysis from independent sources limits the depth of the reporting. To improve source quality, the article should include direct references to official statements or reports and incorporate insights from industry experts or analysts.

5
Transparency

The article does not provide sufficient transparency regarding the sources of its information or the methodology used to gather facts. It lacks citations for the claims made about Morgan Stanley and Charles Schwab's plans, as well as the regulatory changes mentioned. There is also no disclosure of potential conflicts of interest or biases that might affect the reporting. The article could enhance transparency by clearly indicating where the information comes from, whether it is from official statements, insider sources, or third-party reports. Additionally, providing context for the regulatory environment and any changes in political stance would help readers understand the basis for the claims.

Sources

  1. https://www.blockhead.co/2025/05/02/wall-street-giants-morgan-stanley-charles-schwab-gear-up-for-direct-crypto-trading/
  2. https://99bitcoins.com/news/bitcoin-btc/bitcoin-nears-97k-as-morgan-stanley-and-schwab-gear-up-for-crypto-trading/
  3. https://fortune.com/crypto/2025/05/01/morgan-stanley-reportedly-plans-crypto-trading-etrade/
  4. https://cryptoslate.com/morgan-stanley-and-charles-schwab-eye-crypto-trading-as-us-regulations-ease/
  5. https://www.coindesk.com/markets/2025/05/01/morgan-stanley-eyes-launching-crypto-trading-through-etrade-bloomberg