Morgan Stanley’s International Investment Committee (GIC) has issued a landmark advice, advising its huge community of 16,000 monetary advisors to think about allocating between 2% and 4% of higher-risk funding portfolios to cryptocurrencies, with a major give attention to Bitcoin. This recommendation was detailed in a particular report launched on October 1, 2025, and instantly addresses advisors managing over $2 trillion in consumer belongings worldwide.
Within the report, Morgan Stanley positions Bitcoin as a “digital gold,” highlighting its potential position as an inflation hedge and underscoring its superior historic returns when in comparison with conventional belongings like gold. Nevertheless, the committee emphasizes that this cryptocurrency allocation is appropriate solely for high-risk tolerance portfolios. For purchasers with conservative, wealth-preservation objectives, Morgan Stanley continues to suggest zero cryptocurrency publicity.
The funding financial institution’s advice displays the quickly altering panorama of digital belongings, spurred by elevated institutional adoption and regulatory assist from the Trump administration and Congress. With the worldwide cryptocurrency market capitalization now reaching $4 trillion and rising funding entry via exchange-traded merchandise, digital belongings are swiftly turning into a mainstream element of asset allocation methods.
Morgan Stanley’s transfer brings it according to business friends comparable to BlackRock, who’ve additionally just lately advocated for measured crypto publicity in diversified portfolios. If extensively carried out by the agency’s purchasers, this steering may channel between $40 billion and $80 billion of contemporary capital into the cryptocurrency market.
The GIC views cryptocurrency as a speculative asset class however acknowledges its rising attraction. Whereas the committee notes that its official allocation fashions is not going to embrace specific cryptocurrency holdings, it underscores its dedication to supporting monetary advisors and purchasers in making knowledgeable and versatile choices to incorporate digital belongings of their multi-asset portfolios.
