Morgan Stanley Sets Record Low Fee for Spot Bitcoin ETF

Morgan Stanley, one of the leading banks in the US, has announced a significant reduction in its management fee for its spot Bitcoin ETF. The bank's application for a spot Bitcoin ETF was filed with the US Securities and Exchange Commission (SEC) as part of an updated S-1 registration statement.

The reduced fee of 0.14% is lower than that of other prominent players in the market, such as Grayscale Bitcoin Mini Trust at 0.15%, BlackRock's iShares Bitcoin Trust at 0.25%, and Fidelity Wise Origin Bitcoin Fund also at 0.25%. This move by Morgan Stanley could potentially make its spot Bitcoin ETF more competitive in the $85 billion to $92 billion market.

The bank's decision to reduce its management fee comes as part of its efforts to increase exposure to blockchain and cryptocurrencies through products such as ETFs, tokenized fiat deposits, and tokenized real-world assets. Morgan Stanley now recommends that its clients allocate 2%-4% of their investment portfolios to cryptocurrencies.