The American bank’s spot bitcoin fund debuts on the NYSE with over 1.6 million shares traded and a record-low expense ratio.
The new spot bitcoin ETF from Morgan Stanley, listed under the ticker MSBT, debuted on Tuesday on the NYSE with more than 1.6 million shares traded and approximately $33.9 million in inflows on its very first trading day, according to the bank itself.
The fund tracks the CoinDesk Bitcoin Benchmark 4 PM New York Settlement Rate and applies an expense ratio of 0.14%, making it the lowest-cost product in its category. This price advantage, however modest, represents a clear distinction from competitors already present in the market. MSBT had received the green light from the SEC in the weeks leading up to its launch, following a long-awaited regulatory approval process.
The main strength of MSBT, however, is its distribution. Morgan Stanley’s wealth management division manages several trillion dollars in client assets and operates one of the most extensive financial advisor networks in the industry. Some experts believe that MSBT could draw capital away from existing products, particularly BlackRock’s iShares Bitcoin Trust (IBIT), currently the largest spot bitcoin ETF on the market. IBIT, launched in January 2024 alongside nine other funds, has accumulated over $53 billion in assets, quickly becoming the most successful ETF in BlackRock’s history.
