Crypto ETFs: Still in Beta, But the Advisors Are Finally Clicking 'Accept'

Crypto ETF adoption is still in its toddler phase, says Amy Oldenburg, Morgan Stanley’s head of digital asset strategy—meaning advisors still keep the “BTC” tab open in a private browser window and pretend it’s a typo. Most of the action? Self-directed investors. About 80% of crypto ETF trades on Morgan Stanley’s platform come from retail accounts, not advisor-managed ones. The bank started letting clients buy bitcoin ETFs in 2024—and has been rolling it out like a slow-cooked soufflé, because nothing says “institutional trust” like watching your portfolio rise while your CFO nervously checks if “Bitcoin” is on the compliance blacklist. We’re still very early on it,” Oldenburg noted, while quietly praying advisors don’t panic when they see 'BTC' in a portfolio model—preferably after they’ve already hit “confirm” on the wire transfer.

Morgan Stanley filed to launch spot Bitcoin and Solana ETFs in January, joining the growing chorus of Wall Street titans—BlackRock, Fidelity, Bank of America—who’ve all given the green light to 1–4% crypto allocations. Some pros are now eyeing 5%. Yes, you read that right. The crypto allocation is no longer a meme—it’s a line item. It’s now listed right after “office snacks” and before “that one intern who still thinks Dogecoin is a good idea.” The market’s gone from “is this even real?” to “can we please get more of these in the 401(k)?” with the speed of a memecoin pumping on a Saturday night.

Since their 2024 launch, U.S. spot BTC and ETH ETFs have pulled in over $68 billion. But here’s the kicker: most advisory platforms only started letting advisors actually put these ETFs into client portfolios in late 2025. Teddy Fusaro of Bitwise called it a 'watershed moment.' Translation: advisors are no longer pretending they don’t know what a blockchain is. They now know it’s not a cryptocurrency, but they still can’t explain why Solana’s block time is faster than their Wi-Fi at the Hamptons. Still, they nod seriously while saying “decentralized,” and that’s progress.

And the next phase? Not just ETFs. Think tokenized assets, 24/7 blockchain settlement systems—because who needs market hours when you’ve got crypto? Imagine your portfolio trading while you’re on vacation in Bali, and your broker’s still asleep in their Zoom meeting. The traditional market hours? More like “market hours if you’re still using a fax machine.” Meanwhile, crypto’s just over there, humming quietly in the background like a toaster that never stops toasting.

The party’s just getting started. The door’s open. The advisors are here. Now let’s see if they remember to turn off the oven. Spoiler: They’ll forget. Again. But this time, instead of burning cookies, they’ll burn $200M in liquidity. At least the meme is still alive.