Morgan Stanley Bitcoin Trust

The Morgan Stanley Bitcoin Trust (MSBT) is an exchange-traded fund that provides investors with exposure to bitcoin’s price action, without having to manage the complexities and steps of taking direct ownership through self-custody or purchasing bitcoin directly on spot markets. What distinguishes MSBT is its aggressive fee structure. The trust charges an annual fee of just 0.14%, making it the cheapest spot bitcoin ETF on the market at launch. This undercuts competitors like BlackRock’s iShares Bitcoin Trust (IBIT), which charges around 0.25%. Morgan Stanley is the first major U.S. bank to issue a spot bitcoin ETF under its own name. Coinbase serves as custodian and prime broker, while BNY Mellon handles administration and transfer agency. For Morgan Stanley’s wealth management operation managing  an estimated $1.9 trillion in assets, the ETF allows the bank to redirect management fees that previously flowed to competitors when advisors recommended third-party bitcoin funds.