Morgan Stanley is reportedly considering investing $ 150 billion in Bitcoin. A news that deserves to be put in its context.
A slight flashback that brings us back to December 2020, when Morgan Stanley Investment Management wanted to significantly increase its exposure to Bitcoin by investing in the company Microstrategy, listed on Nasdaq and which held approximately 70,470 bitcoins after its purchase of more than one billion at the end of 2020 (a market capitalization of 2.8 billion up today).
Microstrategy was the first large public company to make Bitcoin its main reserve asset, of which Morgan Stanley, thanks to an aggressive increase of 455% of its shares in the capital, allows it on December 31, 2020, to hold a total of 792.627 shares, (or 10.9%), according to the United States Securities and Exchange Commission, valued at approximately $ 420 million based on today’s closing price.
Congratulations & thank you to Elon Musk & Tesla on adding Bitcoin to their balance sheet. The entire world will benefit from this leadership.Michael Saylor – CEO Microstrategy
On Twitter’ side, CFO – Ned Segal – revealed also his intention to include Bitcoin in his balance sheet and that this decision is under review.
Meanwhile, MicroStrategy’s stock is doing well and has gained more than 200% since early January., and Bloomberg’s announcement earlier this morning that Morgan Stanley was considering switching to Bitcoin with an entry of $ 150 billion corroborates the group’s decision to increase its stake in Microstrategy to strengthen its positioning in the crypto market universe and Bitcoin in particular.
Last week it was no less than BNY Mellon, America’s oldest bank, which also entered the Bitcoin market, by taking on the role of depositary, transfer and issuance of Bitcoin on behalf of its clients under management, a further sign of wider acceptance of crypto at the banking level.
as for the payment leaders such as Mastercard, PayPal, Square or Visa, all are maintaining their positioning in favor of cryptocurrency transactions, and their ambition to develop this ecosystem by providing as many applications as possible.
In early February, Visa announced its intention to implement a pilot API program that will allow banks to offer their customers a variety of Bitcoin-based services. And Mastercard Inc. will allow cardholders to transact in certain cryptocurrencies on its network, becoming the latest company to adopt digital assets.
Square Inc. American financial services company, merchant services aggregator and mobile payment whose Jack Dorsey (co-founder of Twitter) is a Bitcoin advocate, positioned itself last October by buying 50 million Bitcoins.
“We believe that bitcoin has the potential to be a more ubiquitous currency in the future. As it grows in adoption, we intend to learn and participate in a disciplined way. For a company that is building products based on a more inclusive future, this investment is a step on that journey ”Amrita Ahuja, Financial Director – Square
Earlier in February, Dorsey stepped up his support for crypto by launching its own ‘node’. The company, which took 10% after Tesla’s announcement, has grown over the past year by more than 400%.
Article: Joana Foglia