Morgan Stanley’s $150 billion Counterpoint Global investment unit is considering placing a bet on bitcoin, according to a report by Bloomberg, which cited people familiar with the matter.

  • In order to move ahead, an investment would need approval by the firm and regulators, Bloomberg noted.
  • If true, this investment would not be Morgan Stanley's first exposure to the leading cryptocurrency. It has a nearly 11% stake in the bitcoin-laden business intelligence company MicroStrategy, per CoinDesk's reporting.
  • Analysts at Morgan Stanley say bitcoin has potential to strongly compete with the dollar, but acknowledge in a recent report that the more investors "hodl" bitcoin, the weaker its appeal to be used as a currency becomes.
  • A spokesperson from the investment bank declined to comment.
  • The investment unit manages nearly 20 funds, and Bloomberg reports five of those funds returned gains over 100% last year.

CORRECTION (Feb. 13 15:57 UTC): Corrects that the investment arm has $150 billion under management.

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