Morgan Stanley Bitcoin ETF Posts $66.8M Loss in 85 Days Despite $371.1M Inflows

According to Mars Finance, regulatory filings reveal that the Morgan Stanley Bitcoin Trust (MSBT) recorded total subscription contributions of approximately $371.1 million within 85 days of listing, comprising about $200.3 million in cash and $170.8 million in Bitcoin. During the same period, the fund’s net assets decreased by approximately $66.8 million due to operations, almost entirely from unrealized depreciation of Bitcoin (approximately $66.17 million), along with realized losses of approximately $618,600 and sponsor fees of approximately $72,300—not attributable to large-scale investor redemptions. The filings indicate that redemptions during this period amounted to only about 1.42% of total subscription contributions. The fund issued approximately 17.9 million shares and redeemed 250,000 shares (corresponding to 1,790 creation baskets and 25 redemption baskets). The outstanding share count increased from approximately 17.65 million as of June 30 to approximately 21.74 million as of July 31, representing a 23.17% increase. Creations and redemptions were conducted by authorized participants at net asset value, in blocks of 10,000 shares per basket.