Wall Street Banks Race to Launch Crypto Trading in 2026
JPMorgan, Morgan Stanley, and Charles Schwab are all preparing to offer crypto trading to clients, signaling a major institutional shift.
The largest names on Wall Street are lining up to bring crypto trading to millions of retail and institutional investors.
What Happened
A wave of major financial institutions is preparing to launch cryptocurrency trading services in early 2026. JPMorgan Chase, the largest U.S. bank by market capitalization, is exploring crypto trading for institutional clients following new OCC guidance that permits "riskless principal" transactions. Morgan Stanley plans to roll out Bitcoin, Ethereum, and Solana trading through its E*Trade platform in the first half of 2026 via a partnership with Zerohash. Charles Schwab, managing over $11 trillion in client assets, confirmed it will offer spot Bitcoin and Ethereum trading by mid-2026. CEO Rick Wurster noted that Schwab clients already hold over 20% of all U.S. crypto exchange-traded products.
Why It Matters
This coordinated push represents the most significant Wall Street embrace of crypto trading to date. The OCC's December guidance allowing banks to facilitate crypto transactions without holding inventory removed a key regulatory barrier. For crypto-native exchanges like Coinbase and Kraken, the entry of traditional brokerages poses competitive pressure, particularly on fees. Schwab already offers commission-free stock trading, and analysts expect aggressive pricing that could reshape the market. The integration also signals that digital assets are becoming a standard component of wealth management portfolios rather than a speculative niche.
What to Watch
Morgan Stanley's E*Trade launch is expected in the first half of 2026, with initial assets including BTC, ETH, and SOL. Schwab plans employee trials before a broader client rollout. JPMorgan's timeline remains uncertain as the bank assesses institutional demand and regulatory conditions. Industry observers will monitor fee structures and whether traditional brokerages can capture significant market share from crypto exchanges.
Key Takeaways
The convergence of Wall Street giants into crypto trading marks a pivotal moment for institutional adoption. As regulatory clarity improves and client demand grows, 2026 may be remembered as the year digital assets became fully integrated into mainstream finance.
