Morgan Stanley is positioning itself to be a formidable challenger in the crypto exchange-traded fund (ETF) market. In its latest move to capture market share from early issuers, the financial giant filed amended S-1 registration statements with the US Securities and Exchange Commission (SEC) on June 18, 2026, revealing a proposed 0.14% annual sponsor fee for its upcoming Ethereum and Solana ETFs.
This pricing strategy effectively establishes a new global floor for crypto ETF costs. Industry analysts, including Bloomberg’s Eric Balchunas, have noted that the 0.14% rate undercuts the current market leaders, making Morgan Stanley’s proposed products the most competitively priced in the United States and the broader global market.
Mechanics of Morgan Stanley’s MSSE and MSOL Trusts
The proposed products, the Morgan Stanley Ethereum Trust, trading under the ticker MSSE, and the Morgan Stanley Solana Trust, trading under MSOL, are slated for listing on NYSE Arca. Beyond the headline-grabbing management fee, the filings provide granular detail on how the firm plans to handle the complexities of on-chain assets, particularly regarding staking.
To manage the native yields inherent to the Ethereum and Solana networks, Morgan Stanley has tapped three major infrastructure providers: Figment, Galaxy Blockchain Infrastructure, and Coinbase Canada. The structure is designed to be highly shareholder-friendly, with a 5% staking service fee levied against the generated rewards. According to the filings, 95% of all staking rewards flow directly back into the trust’s net asset value, meaning the firm does not collect an additional management cut from the staking income beyond its base 0.14% fee.
Disruptive Late-Entry Playbook
Morgan Stanley’s aggressive pricing mirrors the strategy it successfully employed earlier this year. Its spot Bitcoin ETF, which launched in April, utilized the same 0.14% fee structure, a move that helped the fund garner significant initial inflows despite launching months after the industry-standard “first wave” of Bitcoin ETFs.
The firm’s decision to maintain this lean fee structure for its new Ethereum and Solana products suggests a clear intent to disrupt the momentum of established incumbents like BlackRock and Fidelity. By lowering the total cost of ownership for institutional and retail investors, Morgan Stanley is banking on the idea that fee sensitivity remains a primary driver for capital allocation in the maturing crypto-asset class.
The SEC must now declare the registration statements effective before trading can commence. While regulatory scrutiny remains high, these amendments are widely interpreted as a signal that the products are moving into the final stages of the approval pipeline.
