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    Morgan Stanley Files Bitcoin and Solana ETF Applications With SEC

    Story Highlights
    • Morgan Stanley has filed with the SEC to launch Bitcoin and Solana ETFs.

    • The filings come just months after the firm opened crypto access to all client accounts, including retirement investors.

    • The move puts Morgan Stanley in direct competition with BlackRock and Fidelity in the fast-growing ETF market.

    Morgan Stanley has filed an S-1 registration with the U.S. Securities and Exchange Commission to launch a spot Bitcoin ETF. The filing, submitted on January 6, puts the $1.6 trillion wealth management giant in direct competition with BlackRock and Fidelity.

    The product, called the Morgan Stanley Bitcoin Trust, will track the price of Bitcoin net of fees and expenses. The bank also filed for a Solana ETF on the same day.

    How the Morgan Stanley Bitcoin Trust Works

    The trust will hold Bitcoin directly rather than using derivatives or leverage. Its net asset value will be calculated daily using a pricing benchmark from major spot exchanges.

    The fund is passive. It will not trade Bitcoin based on market conditions.

    Shares will be created and redeemed in large blocks by authorized participants, either in cash or in kind. Retail investors can buy and sell shares on the secondary market through brokerage accounts. The ticker symbol has not been disclosed.

    Morgan Stanley’s Crypto Access Expansion

    This filing comes months after Morgan Stanley opened crypto access to all clients starting October 15. Before this, only clients with at least $1.5 million and aggressive risk profiles could invest.

    Now, advisers can pitch crypto funds to anyone, including those with retirement accounts like IRAs and 401(k)s.

    Institutional Interest Continues to Build

    Morgan Stanley is not alone in this push. Asset management firm T. Rowe Price filed for its first crypto ETF last year as institutional firms increasingly embrace digital assets.

    The spot Bitcoin ETF market has grown rapidly since the SEC approved these products two years ago. Morgan Stanley’s entry marks another major Wall Street player moving deeper into crypto.

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    FAQs

    What is the Morgan Stanley Bitcoin Trust?

    The Morgan Stanley Bitcoin Trust is a spot Bitcoin ETF that holds Bitcoin directly and tracks its price for investors via brokerage accounts.

    How can investors buy shares of the trust?

    Investors can buy and sell shares on the secondary market through brokerage accounts, with shares created in large blocks by authorized participants.

    Does the trust trade Bitcoin actively?

    No, the Morgan Stanley Bitcoin Trust is a passive fund that does not trade based on market conditions. It reflects Bitcoin’s spot price daily.

    Is Morgan Stanley the first Wall Street firm to launch a Bitcoin ETF?

    No, Morgan Stanley joins other major firms like BlackRock and Fidelity in offering spot Bitcoin ETFs as institutional crypto adoption grows.

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