Morgan Stanley’s Bitcoin ETF To Launch On Wednesday With Lowest Fee In Market

• According to Bloomberg analyst Eric Balchunas, Morgan Stanley’s MSBT Bitcoin ETF is expected to begin trading on the NYSE as soon as Wednesday, pending approval.
• The Bitcoin ETF is expected to charge a 14-basis-point fee, the lowest among current Bitcoin ETF offerings.
• Competing funds from BlackRock and Fidelity currently charge 25 basis points.

Morgan Stanley’s (MS) recently announced Bitcoin ETF (MSBT) is reportedly slated to go live tomorrow on the New York Stock Exchange with an ultra-low fee of just 14 basis points. 

In comparison, BlackRock’s iShares Bitcoin ETF (IBIT) and the Fidelity Wise Origin Bitcoin Fund (FBTC) have a fee of 25 basis points. At 14 basis points, Morgan Stanley will have the lowest fees of any Bitcoin (BTC) ETF in the market right now. 

“Morgan Stanley Bitcoin ETF $MBST going effective tomorrow looks like, Wed 4/8, via NYSE listing notice,” Bloomberg analyst Eric Balchunas wrote in a post on X. 

Bitcoin ETF Fee War Intensifies

Morgan Stanley’s pricing move sets the stage for growing competition among asset managers seeking to capture flows into spot Bitcoin ETFs. At 14 basis points, the proposed fee is not only below rival Bitcoin ETFs but also undercuts many traditional equity index funds. 

If cleared, the launch would place Morgan Stanley alongside other major Wall Street firms that have entered the Bitcoin ETF market.

Capital flows into Bitcoin ETFs have been volatile of late, with outflows superseding inflows in February, followed by a recuperation in March. According to SoSoValue data, April has been in the green so far, with inflows of around $480 million.

Bitcoin’s price fell more than 2% over the past 24 hours, dropping from $70,000 earlier in the day to around $68,100. Retail sentiment around the apex cryptocurrency on Stocktwits remained in ‘bearish’ territory over the past day, accompanied by ‘normal’ levels of chatter.

MS Stock Moves Higher After UBS Upgrade

Morgan Stanley’s stock edged 0.38% higher in morning trade amid weakness in the broader market after President Donald Trump threatened Iran with nuclear war. On Stocktwits, retail sentiment around the banking giant improved to ‘neutral’ from ‘bearish’ territory over the past day. Chatter remained at ‘normal’ levels. 

UBS on Tuesday also upgraded Morgan Stanley to ‘Buy’ from ‘Neutral’ with a price target of $196, up from $195, implying an upside of 18%. In a note to investors cited by TheFly, the firm said it sees a buying opportunity in bank stocks, which are selling off amid the Iran conflict, private credit concerns, and AI disruption. 

UBS stated that Morgan Stanley has "catalysts ahead to reignite" the shares, including its strength in advisory, potential for a handful of blockbuster initial public offerings this year, and a wealth franchise that "leads peers." 

Morgan Stanley’s shares have fallen over 6% year-to-date and have gained more than 73% in the last 12 months. 

Read also: ‘Hedge Against Bitcoin’ Outperforms BTC Amid Crypto Market Dip On Record Shielded Supply

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