Morgan Stanley Says Tokenization Is Ending the 9-to-5 Banking Day

Tokenization converts claims on stocks, funds and deposits into digital records that can move on blockchain rails, potentially enabling trading, collateral transfers and settlement across time zones. Morgan Stanley executives say the technology, together with stablecoins and round-the-clock markets, is eroding the constraints of the conventional banking day. The shift matters because it could reshape foreign exchange, payments, liquidity management and securities services while reducing reliance on legacy settlement windows.

Morgan Stanley said on June 4 that wholesale banks generated a record $660 billion in revenue in 2025, while $21 billion to $82 billion could migrate from traditional infrastructure to digital rails. The firm widened its own offering on July 16, completing the E*TRADE rollout of spot trading in Bitcoin, Ethereum and Solana for eligible clients at 50 basis points. It also launched the Morgan Stanley Bitcoin Trust, or MSBT, on April 8 with a 0.14% sponsor fee.