# Morgan Stanley launches lowest‑cost Ethereum and Solana ETFs

**Published:** 2026-07-29T06:52:45.722Z  
**Topic:** Ethereum  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/5dee9694-0617-4cb3-9d72-ef78dc3e7115

Morgan Stanley’s new Ethereum (MSSE) and Solana (MSOL) ETFs debut with a 0.14% expense ratio, the cheapest in their categories, and a distribution network of

The Morgan Stanley Ethereum Trust (MSSE) and Solana Trust (MSOL) began trading on Tuesday, each charging a 0.14% expense ratio—the lowest fees among spot Ether and Solana ETFs, a move that could broaden crypto exposure through the firm’s 16,000‑advisor wealth platform [1].

| At a glance | |
|---|---|
| ETFs launched | MSSE & MSOL on Tuesday |
| Expense ratio | 0.14% (lowest in category) |
| Tracking index | CoinDesk Ether & Solana Benchmarks (4 PM NY Settlement) |
| Staking rewards | Fully passed to fund, no retain by Morgan Stanley |

## Product details and pricing advantage  
Both trusts aim to track the performance of their respective digital assets via the CoinDesk benchmarks, with settlement rates measured at 4 PM New York time. The 0.14% expense ratio undercuts existing spot Ether and Solana ETFs, which typically charge higher fees, positioning the products as the most cost‑effective options for investors seeking direct exposure [1][2]. Morgan Stanley will stake a portion of the underlying Ether and SOL holdings to generate staking rewards, which are credited entirely to the funds rather than retained by the sponsor [1][2].

## Scale and distribution potential  
The launch follows Morgan Stanley’s earlier Bitcoin Trust, which holds more than $381 million in assets as of mid‑July 2026 [2]. Analyst Dan Balchunas notes that the firm’s 16,000 financial advisors manage roughly $7 trillion, making this the “biggest ether and sol launch” since the first crypto ETFs, and suggesting a distribution advantage that could drive adoption among retail investors and advisors alike [1]. The firm’s broader ETP suite now exceeds $14 billion in assets under management across 22 products, reflecting a growing appetite for digital‑asset solutions within traditional wealth channels [2].

## Staking and risk considerations  
Both ETFs will stake a share of their holdings to earn network rewards, a practice that can enhance total return but also introduces operational risk tied to third‑party staking providers. Morgan Stanley explicitly states it will not retain any portion of the rewards, ensuring that earnings flow to shareholders. The trusts are not registered under the Investment Company Act of 1940, meaning they may trade at premiums or discounts to net asset value and are subject to the high volatility inherent to Ether and Solana prices [2].

## What to watch  
- **ETF inflows:** Track assets under management for MSSE and MSOL, especially relative to the $381 million in the Bitcoin Trust.  
- **Staking reward yields:** Monitor the percentage of Ether and SOL being staked and the resulting reward rates, which could affect fund performance.  
- **Regulatory filings:** Watch for any SEC updates or amendments to the registration statements that could impact fund operations or fee structures.  

The debut of Morgan Stanley’s ultra‑low‑cost Ether and Solana ETFs highlights the firm’s push to integrate crypto assets into mainstream portfolios, leveraging its massive advisory network to potentially shift a larger share of retail wealth into digital assets. Whether the fee advantage and staking structure translate into significant inflows remains to be seen.

## Sources
1. Benzinga — [Morgan Stanley Debuts Lowest-Cost Ethereum, Solana ETFs ...](https://www.benzinga.com/etfs/new-etfs/26/07/60732352/morgan-stanley-makes-bold-crypto-etf-play-with-cheapest-ethereum-solana-funds)
2. Morganstanley — [Morgan Stanley Launches Ethereum and Solana ETPs | Morgan Stanley](https://www.morganstanley.com/press-releases/morgan-stanley-investment-management-launches-ethereum-and-solana-etps)
3. Crowdfund Insider — [Morgan Stanley Advances Plans for Low-Cost Ethereum and Solana ETFs](https://www.crowdfundinsider.com/2026/06/286521-morgan-stanley-advances-plans-for-low-cost-ethereum-and-solana-etfs/)

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Cite as: TrendWatcher, "Morgan Stanley launches lowest‑cost Ethereum and Solana ETFs", https://www.trendwatcher.in/article/5dee9694-0617-4cb3-9d72-ef78dc3e7115