Morgan Stanley expands crypto push with Ethereum and Solana ETPs
Bank-affiliated asset manager launches the cheapest staked ETH and SOL ETFs at 0.14% expense ratio.
Morgan Stanley Investment Management has launched two new exchange-traded products that track Ethereum and Solana while incorporating staking from day one. The Morgan Stanley Ethereum Trust (MSSE) and Morgan Stanley Solana Trust (MSOL) began trading on NYSE Arca on July 28, 2026. Both funds charge an expense ratio of 0.14%, making them the cheapest products in their respective categories, according to Bloomberg ETF analyst Eric Balchunas. This is the first time a major US bank-affiliated asset manager has offered spot Ethereum and Solana ETPs with integrated staking.
Staking and Structure
MSSE intends to stake between 50% and 80% of its Ethereum holdings, while MSOL may stake up to 100% of its Solana assets. Morgan Stanley expects to pass through approximately 95% of staking rewards to shareholders and will not retain any portion of the rewards for itself. The institutional staking infrastructure provider Figment has been selected to operate the validators and manage staking for both funds. Additionally, reports indicate that Coinbase is providing underlying technology for the ETPs, as confirmed by Coinbase CEO Brian Armstrong.
The funds track prices using CoinDesk benchmark rates and allow investors to gain exposure without managing private keys or validators. This follows Morgan Stanley's earlier launch of its Bitcoin Trust, which had accumulated over $381 million in assets as of July 16, and its July rollout of spot Bitcoin, Ethereum, and Solana trading for eligible E*TRADE customers through a partnership with Zero Hash.
Expanding Digital Asset Suite
The launch brings Morgan Stanley's digital asset ETP lineup to three products covering Bitcoin, Ethereum, and Solana. Since entering the ETF market in 2023, the firm's ETF and ETP business has grown to more than $14 billion across 22 products. Ally Wallace, Global Head of ETFs at Morgan Stanley Investment Management, said clients want access to digital assets through familiar investment structures while participating in staking rewards.
What This Means
The introduction of staked Ethereum and Solana ETPs by a major bank-affiliated asset manager is a massive validation of Proof-of-Stake assets. By offering the lowest fees in the category and passing through nearly all staking rewards, Morgan Stanley is setting a high bar for competitors. This could accelerate institutional adoption of Solana and Ethereum, potentially driving significant inflows and positively impacting the broader crypto market.