Andrew Peel, the former head of digital asset markets at Morgan Stanley, has stepped down from his role to launch a new cryptocurrency-focused investment and technology firm in Zug, Switzerland. According to a Bloomberg report published Tuesday, the venture will specialize in tokenized funds and trading tools designed to bridge traditional finance (TradFi) with decentralized finance (DeFi).
Zug, often referred to as “Crypto Valley,” is a global hub for blockchain innovation and home to numerous crypto startups, foundations, and financial institutions embracing digital assets. Peel’s decision to base his new firm there underscores the region’s growing influence in shaping the future of finance.
Bridging Traditional Finance and DeFi
Peel’s upcoming venture aims to create financial infrastructure that merges the regulatory rigor and institutional frameworks of traditional markets with the efficiency, transparency, and accessibility of DeFi protocols. The focus will be on developing tokenized funds—digital representations of traditional investment vehicles like mutual funds or ETFs—that can be traded seamlessly across blockchain networks.
This hybrid approach reflects a broader trend on Wall Street: the convergence of legacy finance and blockchain-based systems. As major asset managers like BlackRock and Franklin Templeton advance their own tokenization initiatives, demand for interoperable financial solutions is rising rapidly.
👉 Discover how tokenized assets are reshaping global finance
A Proven Track Record in Financial Innovation
Before joining Morgan Stanley in 2018, Andrew Peel was a seasoned trader at Credit Suisse, bringing deep expertise in capital markets and risk management. Over his tenure at Morgan Stanley, he played a key role in shaping the bank’s digital asset strategy, particularly in expanding institutional access to cryptocurrency markets.
His resignation in March 2025 marks a significant move from traditional banking into the frontier of decentralized finance. While Bloomberg did not disclose the exact name or launch timeline of his new firm, sources indicate that fundraising efforts are expected to begin soon, likely targeting institutional investors and high-net-worth individuals familiar with both crypto and conventional finance.
Wall Street’s Accelerating Push Into Digital Assets
Peel’s departure comes at a pivotal moment for Morgan Stanley. The financial giant is reportedly preparing to roll out retail cryptocurrency trading through its E*Trade platform as early as next year. This would represent a major expansion from its initial 2021 move, which offered only indirect institutional exposure to Bitcoin via fund investments.
The shift reflects evolving client demand and a changing regulatory landscape in the United States. With increased clarity around digital asset regulations—and growing acceptance of blockchain technology—major financial institutions are now more confident in integrating crypto into their core offerings.
Moreover, the momentum behind tokenized real-world assets (RWA) continues to build. Recent data shows that over $10 billion worth of assets have already been tokenized globally, including bonds, equities, and private credit instruments. Experts predict this figure could exceed $16 trillion by 2030, driven by efficiency gains and lower transaction costs.
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Why Switzerland? The Rise of Crypto Valley
Zug’s favorable regulatory environment, skilled workforce, and supportive government policies make it an ideal location for blockchain innovation. The canton offers clear guidelines for crypto firms, low taxes, and strong ties to both European financial markets and global tech ecosystems.
By establishing his firm in Zug, Peel positions himself at the heart of a thriving digital asset ecosystem—one that includes industry leaders like Ethereum Foundation, Polygon, and numerous fintech accelerators.
This strategic choice also signals confidence in Europe’s long-term vision for regulated blockchain adoption, contrasting with the still-evolving U.S. regulatory framework.
👉 Explore how global financial hubs are adopting blockchain technology
The Future of Hybrid Financial Systems
As more executives like Andrew Peel transition from Wall Street to Web3, the line between traditional finance and decentralized systems continues to blur. The integration of DeFi protocols with regulated financial products promises several advantages:
- Faster settlement times (from days to minutes)
- 24/7 market access
- Greater transparency via public ledgers
- Programmable compliance through smart contracts
- Lower operational costs
However, challenges remain—particularly around scalability, regulatory alignment, and user security. Success will depend on building robust, audited systems that maintain trust while delivering innovation.
Frequently Asked Questions (FAQ)
Q: Who is Andrew Peel?
A: Andrew Peel is a former Credit Suisse trader who served as head of digital asset markets at Morgan Stanley from 2018 until his resignation in March 2025. He is now launching a DeFi-focused investment firm in Switzerland.
Q: What are tokenized funds?
A: Tokenized funds are digital versions of traditional financial products—such as mutual funds or ETFs—represented as tokens on a blockchain. They enable fractional ownership, faster transfers, and automated management via smart contracts.
Q: Why is Zug, Switzerland known as “Crypto Valley”?
A: Zug has become a global center for blockchain innovation due to its business-friendly regulations, low taxes, and concentration of crypto companies and talent. It hosts major players like Ethereum Foundation and supports startups through incubators and funding programs.
Q: Will Morgan Stanley offer direct crypto trading?
A: While not yet confirmed, reports suggest Morgan Stanley plans to introduce retail cryptocurrency trading via its E*Trade platform in the coming year, expanding beyond its current institutional Bitcoin fund offerings.
Q: How does DeFi integrate with traditional finance?
A: DeFi integrates with TradFi by using blockchain technology to recreate financial services—like lending, trading, and asset management—in a decentralized, transparent way. Hybrid models use regulated entities to manage custody and compliance while leveraging DeFi’s efficiency.
Q: Is tokenization secure for mainstream investors?
A: When implemented with proper audits, regulatory compliance, and secure custody solutions, tokenization can be safer than traditional systems due to immutable records and reduced counterparty risk.
👉 Learn how secure blockchain platforms are enabling the next financial revolution
Final Thoughts
Andrew Peel’s move from Morgan Stanley to launch a DeFi fund in Switzerland symbolizes a larger transformation underway in global finance. As institutional interest grows and technology matures, the fusion of traditional finance with decentralized systems is no longer speculative—it's inevitable.
The success of ventures like Peel’s will hinge on their ability to deliver compliant, scalable, and user-friendly solutions that serve both retail and institutional clients. With Zug as a launchpad and Wall Street experience behind him, Peel is well-positioned to help shape the future of finance.
As the world watches this evolution unfold, one thing is clear: the era of integrated digital finance has just begun.