By unleashing its legion of 15,000 brokers to pitch Bitcoin, Morgan Stanley has just voluntarily subjected themselves to what will likely become the largest SEC and FINRA examination sweep in history,” Stark wrote in an Aug. 9 X statement. 

 U.S. Securities and Exchange Commission (SEC) official John Reed Stark, Morgan Stanley's push for Bitcoin exchange-traded funds (ETFs) is seen as a "death wish." Stark believes that by allowing its 15,000 financial advisors to pitch Bitcoin ETFs to clients, the bank has exposed itself to intense regulatory scrutiny. He suggests that regulators view Bitcoin and other digital assets as a risky investment and may closely examine Morgan Stanley's activities in this space.