Morgan Stanley Launches Ethereum and Solana ETFs With the Lowest Fees on the Market

Morgan Stanley Enters the Crypto ETF Race With Unbeatable Rates

Investment bank Morgan Stanley has taken a decisive new step in its push into the crypto ETF market. According to documents filed Thursday with the SEC, the institution plans to charge fees of just 0.14% for its upcoming Ethereum and Solana ETFs — the lowest rates ever offered in the US and global markets.

The announcement follows amendments to the S-1 forms for the Morgan Stanley Ethereum Trust (ticker MSSE) and the Morgan Stanley Solana Trust (ticker MSOL). According to Bloomberg ETF analyst Eric Balchunas, these fees make Morgan Stanley's products "the cheapest in the US and the world."

An Aggressive Pricing Strategy to Challenge the Leaders

By setting fees at 0.14%, Morgan Stanley directly undercuts its most established competitors. For comparison:

• Grayscale Ethereum Staking Mini ETF (ETH): 0.15% — the current Ethereum leader

• Franklin Solana ETF (SOEZ): 0.19% — the cheapest Solana option until now

• BlackRock iShares Ethereum ETF: 0.25%

This pricing strategy is not new for Morgan Stanley. Its Bitcoin ETF, launched in April 2026, already featured 0.14% fees, positioning the bank as the most competitive crypto ETF provider. The bet paid off: the fund recorded $30.6 million in inflows on its first day of trading and has since accumulated $331 million in total inflows, surpassing ETFs from Invesco, Franklin Templeton, and CoinShares.

A Strong Signal for Imminent SEC Approval

S-1 form amendments generally signal that the SEC is about to approve the products for trading. This would be a major milestone:

• MSSE would become the 11th spot Ether ETF launched in the United States

• MSOL would become the 7th spot Solana ETF on the US market

The exact timeline remains to be confirmed, but experts estimate a decision could come within weeks, opening the door to a new wave of institutional and retail investors in Ethereum and Solana.

Built-In Staking: An Additional Competitive Advantage

The filings also reveal that Morgan Stanley has planned to integrate a staking mechanism for both ETFs. Staking services will be provided by three industry leaders:

• Figment — leading blockchain infrastructure provider

• Galaxy Blockchain Infrastructure — the crypto division of Galaxy Digital

• Coinbase Canada — one of the largest crypto custodians in the world

Each fund will apply a 5% staking commission on generated rewards. This staking integration represents a major selling point: investors can not only gain exposure to ETH and SOL prices but also benefit from passive yields — a feature not all crypto ETFs offer.

Implications for the Crypto Market

Morgan Stanley's arrival with such aggressive pricing could trigger a full-blown price war among crypto ETF issuers. Several scenarios are worth anticipating:

1. General Fee Compression

Direct competitors — BlackRock, Fidelity, Grayscale — may be forced to lower their own fees to remain competitive. This is excellent news for investors, who will see their crypto exposure costs decrease.

2. Accelerated Capital Inflows

Lower fees mean a lower total cost of ownership, making crypto ETFs more attractive to fee-sensitive institutional investors — particularly pension funds and financial advisors managing billions of dollars.

3. Increased Legitimacy for Ethereum and Solana

The fact that Morgan Stanley — one of the world's largest investment banks — is offering staking ETFs for ETH and SOL sends a clear message: these assets are now considered legitimate asset classes by traditional finance.

The Broader Context: A Pivotal Year for Crypto ETFs

These developments are part of a broader trend. Since the approval of the first spot Bitcoin ETFs in January 2024, the crypto ETF market has continued to mature:

• Bitcoin ETFs have attracted over $50 billion in cumulative inflows

• Ethereum ETFs have seen growing success after their launch

• Solana ETFs represent the next frontier of institutional crypto investment

Morgan Stanley's commitment to offering the lowest fees, integrating staking, and partnering with top-tier infrastructure providers shows the bank sees crypto ETFs not as a side product but as a major strategic line of business.

Key Takeaways

Morgan Stanley's S-1 filing amendments mark a turning point for the crypto ETF industry. With fees of 0.14% — the lowest in the world —, staking integration, and imminent SEC approval, the Ethereum and Solana ETFs could redefine market standards. For investors, this is an opportunity to access crypto exposure with minimized costs and advanced features. For the industry, it's yet another signal that the convergence between traditional finance and digital assets is accelerating.

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