{"id":89379,"date":"2024-08-10T09:10:17","date_gmt":"2024-08-10T13:10:17","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=89379"},"modified":"2024-08-10T09:10:22","modified_gmt":"2024-08-10T13:10:22","slug":"ex-sec-blasts-morgan-stanley-over-bitcoin-etfs","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/ex-sec-blasts-morgan-stanley-over-bitcoin-etfs\/","title":{"rendered":"Ex-SEC Official Blasts Morgan Stanley Over Bitcoin ETFs"},"content":{"rendered":"\n

Ex-SEC official John Reed Stark warns Morgan Stanley<\/a> of potential SEC scrutiny over spot Bitcoin ETFs.<\/p>\n\n\n\n

\"Ex-SEC
Ex-SEC Official Blasts Morgan Stanley Over Bitcoin ETFs<\/figcaption><\/figure>\n\n\n\n

John Reed Stark, the former Chief of the SEC's Office of Internet Enforcement, has issued a warning to Morgan Stanley regarding the provision of spot Bitcoin ETFs<\/a> to its clients.<\/p>\n\n\n\n

The investment bank's decision was criticized by an ex-SEC official in his most recent post on X. He suggested that Morgan Stanley will likely be subject to “the largest SEC and FINRA examination sweep in history.”<\/p>\n\n\n\n

Last week, Morgan Stanley, one of the largest financial institutions in the United States, added BTC ETFs to its product inventory. This was a significant milestone in the introduction of cryptocurrencies to institutional investors<\/a>.<\/p>\n\n\n\n

Is a Compliance Inspection Imminent?<\/h2>\n\n\n\n


Nevertheless, Stark characterized the organization's decision as a “death wish,” asserting that the bank has exposed itself to severe regulatory scrutiny by permitting its 15,000 brokers to promote Bitcoin.<\/p>\n\n\n\n

\n

Morgan Stanley\u2019s Death Wish

I worked in the SEC Enforcement Division for almost 20 years, the last 11 as Chief of the SEC\u2019s Office of Internet Enforcement, and I have taught advanced securities regulation courses at both Georgetown and Duke Law Schools for 20 years \u2014 and my\u2026<\/p>— John Reed Stark (@JohnReedStark) August 9, 2024\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a><\/blockquote>

He cautioned that the SEC and FINRA staff would have access to all records related to Bitcoin sales, which would make it simple to identify violations. Stark's conclusion was ominous, as he wished the bank's compliance director “good luck.”<\/p>\n\n\n\n

Biggest Inflows in Months<\/h2>\n\n\n\n

Morgan Stanley authorized its 15,000 financial advisors to commence soliciting clients with a net worth exceeding $1.5 million regarding the funds issued by BlackRock<\/a> and Fidelity on August 2.<\/p>\n\n\n\n

On August 9, Bitcoin ETFs experienced a net inflow of 4,698 BTC, which is equivalent to $283.87 million, according to Lookonchain.<\/p>\n\n\n\n

\n

Aug 9 Update:

10 #Bitcoin<\/use><\/svg><\/span><\/a> ETFs
NetFlow: +4,698 $BTC<\/use><\/svg><\/span><\/a>(+$283.87M)\ud83d\udfe2#iShares<\/use><\/svg><\/span><\/a> inflows 2,641 $BTC<\/use><\/svg><\/span><\/a>($159.57M) and currently holds 347,608 $BTC<\/use><\/svg><\/span><\/a>($21B).

9 #Ethereum<\/use><\/svg><\/span><\/a> ETFs
NetFlow: -8,364 $ETH<\/use><\/svg><\/span><\/a>(-$21.72M)\ud83d\udd34#Grayscale<\/use><\/svg><\/span><\/a> outflows 13,682 $ETH<\/use><\/svg><\/span><\/a>($35.53M) and currently holds 1,934,651 $ETH<\/use><\/svg><\/span><\/a>($5.02B).\u2026 pic.twitter.com\/Q1eryyZfm4<\/use><\/svg><\/span><\/a><\/p>— Lookonchain (@lookonchain) August 9, 2024<\/use><\/svg><\/span><\/a><\/blockquote>

IShares<\/use><\/svg><\/span><\/a> alone experienced inflows of 2,641 BTC, which are currently valued at $159.57 million. The company holds 347,608 BTC, which are worth approximately $21 billion.
<\/p>\n","protected":false},"excerpt":{"rendered":"

Ex-SEC official John Reed Stark warns Morgan Stanley of potential SEC scrutiny over spot Bitcoin ETFs. John Reed Stark, the former Chief of the SEC’s Office of Internet Enforcement, has issued a warning to Morgan Stanley regarding the provision of spot Bitcoin ETFs to its clients. The investment bank’s decision was criticized by an ex-SEC […]<\/p>\n","protected":false},"author":36,"featured_media":89390,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[1742],"class_list":["post-89379","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitcoin-etfs"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2024\/08\/Bitcoin-ETF-2-scaled-1-1224x816-1.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/89379","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=89379"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/89379\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/89390"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=89379"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=89379"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=89379"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}