Morgan Stanley’s Bitcoin ETF Under-prices Incumbents to Capture Wealth Management Flows
EN
Elliot North
Bitcoin ETF · Apr 13, 2026
Source: DojiDoji Data Terminal
Investors deposited between $30 million and $34 million into Morgan Stanley’s new spot Bitcoin ETF on its first day of trading. An additional $31.20 million entered the fund over the following two sessions, bringing total inflows to approximately $62 million.
The fund, which trades on NYSE Arca under the ticker MSBT, was launched with an expense ratio of 0.14%, the lowest in the U.S. market. This pricing strategy is designed to capture market share from incumbents by undercutting the cost of existing spot Bitcoin products.
Unlike smaller issuers, Morgan Stanley leverages an internal network of 16,000 financial advisors managing trillions in assets under advisement. This distribution channel allows the bank to route client demand directly into its own product rather than relying on external platforms.
While large institutional allocators often prioritize liquidity and tight spreads over small fee differences, the 0.14% rate introduces pricing pressure across the category. The launch occurs as Bitcoin trades below previous highs and spot ETF flows have only recently stabilized after a period of net outflows.
The lowest-cost fee structure forces other spot Bitcoin ETF issuers to consider fee reductions.