Morgan Stanley Launches Bitcoin ETF with Lower Than Expected Inflows

Morgan Stanley has made history by launching its own Bitcoin-tracking exchange-traded fund (ETF), MSBT, on the NYSE Arca. On its first day of trading, the fund recorded $30.6 million in inflows, marking a significant milestone for the bank's foray into cryptocurrency.

However, the performance of MSBT was somewhat underwhelming compared to other Spot BTC ETFs that launched earlier this year. Bitwise's BITB and Fidelity's FBTC saw inflows worth $237.9 million and $227.0 million respectively on their launch day.

Despite this, Morgan Stanley's ETF has a secret advantage over its competitors. With an expense ratio of 14 basis points, MSBT is the cheapest fund in the market, beating out Grayscale's BTC (1 basis point) and BlackRock's IBIT (11 basis points).