Major American bank Morgan Stanley (NYSE: MS) continues to be proactive in cryptocurrencies with the recent launch of Spot Bitcoin ($BTC) Exchange Traded Funds (ETFs).
Specifically, Finbold arkham April 21st.
The purchase, executed via Coinbase Prime, brings the bank’s total holdings in the Morgan Stanley Bitcoin Trust (MSBT) to 1,820.6 Bitcoin, worth approximately $138.1 million at current market prices.
Launched on April 8th, the MSBT ETF became the first spot Bitcoin ETF issued by a major US bank.
The NYSE Arca-listed company attracted approximately $34 million in first-day inflows and features an industry-leading low expense ratio of 0.14%, positioning it as a cost-effective option.
In fact, the company’s product got off to a strong start, attracting over $100 million in net inflows within its first week of trading.
MSBT ETF got off to a good start
The fund raised about $103 million in its first six days and has averaged about $17 million in daily inflows since its launch on April 8, according to data.
Although MSBT still lags behind larger competitors such as BlackRock’s IBIT, it is emerging as a competitive entrant, with WisdomTree’s WBTC already exceeding total inflows for WisdomTree’s WBTC, even though it has been on the market since early 2024.
Notably, MSBT’s management fees are among the lowest in the industry, which, combined with Morgan Stanley’s strong sales force, has helped drive investor interest.
Once inflows stabilize, the ETF could begin to close the gap with mid-sized rivals such as Invesco’s BTCO, Valkyrie’s BRRR and Franklin Templeton’s EZBC.
As competition intensifies in the spot Bitcoin ETF market, the key will be whether MSBT can maintain its early momentum.
Overall, the banking entity views Bitcoin as a portfolio diversifier and potential inflation hedge, leveraging its network of approximately 16,000 wealth advisors to offer clients simplified, regulated exposure without the need for direct custody or trading.
