Morgan Stanley Moves Closer to Direct Crypto Custody With Trust Charter Application
Morgan Stanley is taking another step deeper into digital assets. The Wall Street bank has applied for a national trust bank charter that would allow it to directly custody cryptocurrencies and offer related services to clients across the United States.
According to a public filing with the Office of the Comptroller of the Currency (OCC), the application — submitted on Feb. 18 — is under the name Morgan Stanley Digital Trust, National Association. Rather than acquiring an existing institution, the firm plans to launch a brand-new banking entity from scratch.
A Broader Push Into Crypto Services
If approved, the new subsidiary would provide custody for select digital assets while also supporting trading activity, including purchases, sales, swaps and transfers. The filing also outlines plans to offer staking services — an increasingly popular feature among institutional crypto platforms.
A national trust charter allows firms to carry out fiduciary services such as safeguarding assets and acting as a custodian. Because this would be a “de novo” charter, the trust bank would be newly formed rather than converted from an existing business.
This would mark Morgan Stanley’s first trust charter dedicated specifically to crypto.
Part of a Larger Institutional Shift
The move reflects a broader trend: major financial institutions are racing to build regulated digital asset infrastructure. After years of market volatility and several high-profile exchange failures, institutional clients are increasingly seeking safer, federally supervised custody and trading solutions.
Other firms have been making similar plays. In December, the OCC granted national trust bank charters to several crypto-focused companies, including BitGo, Fidelity Digital Assets, Circle, Ripple and Paxos.
Trust banks operate differently from traditional commercial banks — they typically cannot take deposits or issue loans. However, they can provide custody and settlement services, which are crucial for stablecoin issuers and institutional crypto investors looking for compliant infrastructure.
Expanding Its Digital Asset Strategy
Morgan Stanley has been steadily building out its crypto footprint. In January, the bank appointed Amy Oldenburg to lead a newly formed digital asset division, signaling a more coordinated strategy around blockchain-based products.
The firm has also filed to launch spot Bitcoin and Solana exchange-traded funds, along with a proposed staked Ether ETF — further integrating digital assets into its wealth management and investment offerings.
If regulators approve the trust charter, Morgan Stanley would be able to directly safeguard clients’ crypto holdings instead of relying on third-party custodians. That shift could position the bank as a full-service provider for institutional investors seeking exposure to digital assets within a regulated framework.
