So far, this year has been marked by bad news for institutional investors interested in pursuing cryptocurrencies.

One of the most lauded and most highly anticipated crypto investment instruments, the crypto Exchange Traded Fund (ETF), has faced steady regulatory headwinds as the SEC continually rejects attempts to bring ETFs to market.

Since many crypto enthusiasts see institutional investment as the next frontier for crypto adoption, these setbacks are frustrating. However, that doesn’t mean that all opportunities for institutional investors are impossible.

In that regard, it’s been a big week for Bitcoin as a series of leaks reveal that major financial institutions, including Morgan Stanley and Citibank, are creating or developing investment products intended to provide their substantial customer base with access to digital assets.

Morgan Stanley is preparing a crypto product

This week, Bloomberg reported that Morgan Stanley is preparing an investment product that will provide their customers access to Bitcoin derivatives. Citing an anonymous source, Bloomberg contends that Morgan Stanley will provide customers with “synthetic exposure” to Bitcoin markets by enabling investors to take long or short positions on the digital currency.

In this way, Morgan Stanley is joining several other mainstream financial institutions striving to produce mechanisms for their clients to trade in Bitcoin without providing direct access to digital currencies. Bloomberg’s source notes that Morgan Stanley will charge spread fees to accommodate the inherent risks in brokering Bitcoin products.

Although…