Morgan Stanley Amends Filings, Paving Way for Low-Cost ETH, SOL ETFs

Morgan Stanley Amends Filings, Paving Way for Potentially Cheapest ETH, SOL ETFs

Morgan Stanley has submitted amended S-1 registration statements to the Securities and Exchange Commission (SEC) for its proposed Solana and Ethereum Exchange Traded Funds (ETFs). This move signals continued engagement with the regulator, though final launch dates are contingent on the SEC’s review process.

The Wall Street bank updated its filings on Thursday, revealing that both funds are slated to carry a sponsorship fee of 0.14%. This rate has drawn attention, with Bloomberg ETF analyst Eric Balchunas noting it would position the funds as the lowest-cost options globally for both Ether (ETH) and Solana (SOL) ETFs.

“Morgan Stanley Ether and Solana ETFs nearing launch. The fee on each is going to be 14bps, making them the cheapest in the U.S. and world,” Balchunas commented.

For comparative context, Grayscale’s Mini Ethereum Trust currently has the lowest sponsorship fee among ETH trusts at 0.15%. In the SOL ETF market, Franklin Templeton’s SOEZ has the lowest rate at 0.19%.

The updated documents also indicate that Morgan Stanley intends to incorporate staking arrangements for both investment products. The firm plans to stake a portion of the assets held by the ETFs to generate additional rewards. Figment and Galaxy Blockchain Infrastructure have been appointed as the staking providers for these funds.

Under these arrangements, custodians will receive a 5% fee for their services, with the remaining 95% of staking rewards flowing back into the fund. This structure means investors could potentially benefit from both the price appreciation of SOL and ETH, as well as earnings from staking activities.

Morgan Stanley initially filed its applications for the SOL and ETH ETFs in January 2026. The latest revisions mark the second time these filings have been altered. Should the SEC approve both ETFs, the Solana fund is expected to trade under the ticker MSOL, while the Ethereum fund will be listed as MSSE.

The firm also filed for its Morgan Stanley Bitcoin Trust (MSBT) around the same period. That product launched in April, debuting with $34 million on its first day and also featuring a competitive 0.14% sponsorship fee. MSBT has experienced a notable period of zero outflows since its launch, with only one day, May 29, recording capital departure.

In contrast, recent data from SoSoValue indicates that spot Bitcoin ETFs collectively saw a net outflow of $90.66 million on June 18, with many of these products experiencing negative flows in recent weeks. However, MSBT recorded its largest single-day inflow on that date, amounting to $10.43 million, bringing its total net inflow to $301 million.