Quick Take
- MSSE drew $14.03 million as the broader US Ethereum ETF market recorded net outflows.
- MSOL captured all US Solana ETF inflows, taking in $19.03 million on its second trading day.
- Low 0.14% fees and Morgan Stanley’s distribution network could give both funds an edge.
Morgan Stanley’s new Ethereum and Solana exchange-traded funds drew $33 million on their second trading day, outperforming larger rivals and giving the Wall Street firm an early foothold in two increasingly competitive markets.
The Morgan Stanley Ethereum Trust, trading under the ticker MSSE, attracted $14.03 million on Wednesday, while the Morgan Stanley Solana Trust, or MSOL, recorded $19.03 million, according to SoSoValue data.
MSSE’s intake exceeded that of BlackRock’s ETHA, the dominant US spot Ethereum ETF, even as the broader category recorded approximately $19 million in net outflows. Total net inflows into Ethereum ETFs since launch remained at $11.19 billion.
MSOL accounted for all the money entering US Solana ETFs during the session, despite having traded for only two days. SoSoValue lists eight other Solana funds with combined net assets of approximately $842 million.
With these inflows, MSSE and MSOL now manage $20 million in assets.
Meanwhile, the inflows to these products followed an active debut on Tuesday, when the two Morgan Stanley products generated roughly $38 million in combined trading volume.
The second-day figures provide a stronger indication of investor demand than launch-day volume alone. Trading volume measures transactions between buyers and sellers, while net inflows show that additional capital entered the funds through the creation of new shares.
Morgan Stanley’s early performance places it alongside issuers including BlackRock, Bitwise, Grayscale, VanEck and 21Shares, which have already built positions in the Ethereum and Solana ETF markets.
Morgan Stanley brings its distribution power to crypto ETFs
Morgan Stanley is using its early success in Bitcoin to build a broader crypto ETF franchise.
Its Bitcoin trust has gathered about $400 million in assets since launching earlier this year, giving the firm an established pool of crypto investors as it rolls out products tied to Ethereum and Solana.
Bloomberg ETF analyst Eric Balchunas said the new funds represent the most significant entries into their categories since the first wave of launches, largely because few rivals can match Morgan Stanley’s distribution reach. The bank has roughly 16,000 financial advisers and one of the largest wealth-management platforms in the world.
Alongside that platform, E*TRADE gives Morgan Stanley another route to self-directed investors. Its investment-management arm oversees about $2 trillion in assets and employs more than 1,300 investment professionals.
The scale of that network could give MSSE and MSOL an advantage over crypto-native issuers that lack comparable access to advisers, institutions and affluent clients.
Morgan Stanley is also competing aggressively on price. Both funds carry a 0.14% expense ratio, putting them near the low end of their respective markets.
The products are designed to stake part of their holdings and distribute the resulting rewards to shareholders. That approach combines price exposure with income generated through Ethereum and Solana’s proof-of-stake systems.
Their launch reflects a wider shift among US asset managers toward products beyond Bitcoin. After spot Bitcoin ETFs opened the market in January 2024, issuers began expanding into Ethereum and a growing range of altcoins, including Hyperliquid and Chainlink, as demand for regulated crypto exposure broadened.
Ethereum is +18.61% over the past 24 hours and currently sits at rank #2 by market cap.
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