- Morgan Stanley proposes lowest 0.14% fee Bitcoin ETF, targeting market share against BlackRock and Fidelity.
- ETF will track Bitcoin price passively, with Coinbase as custodian and BNY Mellon as administrator.
- Bank expands crypto push with new filings, advisor network, and portfolio allocation guidance.
Morgan Stanley has filed to launch a spot Bitcoin ETF with a 0.14% fee, undercutting rivals, according to its updated SEC filing. The proposal, submitted in March 2026, outlines the MSBT ticker and positions the bank against firms like BlackRock and Fidelity in a growing ETF market.
Fee Strategy Targets Market Share
The proposed 0.14% fee would rank as the lowest in the current spot Bitcoin ETF market. By comparison, Grayscale charges 0.15% for its Bitcoin Mini Trust. Meanwhile, BlackRock and Fidelity maintain fees at 0.25%.
This pricing approach suggests a focus on attracting both institutional and retail investors. Lower fees often draw higher inflows, especially in competitive ETF segments. As a result, Morgan Stanley may leverage its advisor network to expand adoption.
The bank oversees $6.2 trillion in client assets and works with 16,000 financial advisors. This distribution network could support rapid product uptake if approved.
Structure And Partnerships Defined
Morgan Stanley’s filing details a passive investment structure tracking Bitcoin’s price. The fund will not attempt to trade market swings. Instead, it will mirror the asset’s performance directly.
Coinbase will serve as custodian and prime broker for the ETF. Meanwhile, BNY Mellon will handle administration and transfer services.
The New York Stock Exchange has already issued a listing notice for MSBT. This indicates that trading could begin once regulatory approval is granted.
Broader Crypto Push Expands
Alongside the ETF, Morgan Stanley has expanded its digital asset strategy. The bank filed for Bitcoin and Solana ETFs in January 2026. It also applied for a national trust banking charter to support custody and trading services.
Amy Oldenburg, the bank’s digital asset strategy head, said the firm has worked on infrastructure for years. She noted that integrating blockchain systems requires significant technical adjustments within traditional banking frameworks.
Morgan Stanley also recommends allocating 2% to 4% of portfolios to crypto assets. This includes retirement accounts such as IRAs and 401(k) plans.
Additionally, the bank holds about $729 million in Bitcoin ETFs, including $667 million in BlackRock’s fund.