Morgan Stanley’s spot Bitcoin (BTC) ETF began trading on NYSE Arca under the ticker MSBT, logging 1.6 million shares and roughly $34 million in inflows on its first day.
The launch makes Morgan Stanley the first major US bank to issue a spot Bitcoin ETF under its own name.
Cheapest BTC ETF Enters a Crowded Field
MSBT charges a 0.14% expense ratio, undercutting BlackRock’s iShares Bitcoin Trust (IBIT) at 0.25%.
The fund joins more than 10 spot Bitcoin ETFs launched over the past two years, which collectively command over $85 billion in assets.
Bloomberg ETF analyst Eric Balchunas projected MSBT could reach $50 million in first-day volume. He placed it among the top 1% of all ETF launches in the past year.
Distribution Power vs. Liquidity
Morgan Stanley employs approximately 16,000 wealth management advisors overseeing $9.3 trillion in client assets.
That network gives MSBT a distribution advantage no previous Bitcoin ETF issuer has matched.
Nate Geraci, president of NovaDius Wealth Management, called distribution “king in the ETF space” and said Morgan Stanley’s advisor network combined with the lowest fee creates a strong formula.
The bank also plans to launch retail crypto trading on E-Trade in the first half of 2026, creating a multi-channel approach to digital asset access.
Whether MSBT can sustain momentum against IBIT’s deep liquidity and options market dominance will determine if Wall Street’s entry reshapes the competitive balance.
