• Morgan Stanley has launched a pilot for direct cryptocurrency trading on its E*Trade platform.
• The pilot offers crypto transaction fees below those currently available from Robinhood, Coinbase and Charles Schwab.
• The program is expected to extend to all 8.6 million E*Trade clients later in 2026, introducing a large, low fee competitor to Robinhood’s crypto business.

For Robinhood Markets (NasdaqGS:HOOD), the timing of this development matters because crypto transaction revenue has recently declined sharply and trading volumes remain a key earnings sensitivity. The stock trades at $76.28, with a 7 day return of 4.7% and a 1 year return of 41.1%. Over the past 3 years, the share price is up by a very large amount, roughly 7 times.

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