Morgan Stanley Launches 0.14% Ethereum and Solana ETFs: Will Flows Follow?

Morgan Stanley launched spot Ethereum and Solana exchange-traded products on Tuesday at a 0.14% fee. Prospectus filings show each trust opened with 50,000 shares and roughly $1 million in seed capital.

Ether sits 61% below its August 2025 peak. SOL trades 75% under its January 2025 high. Whether Morgan Stanley advisers allocate into that drawdown is the open question.

How Morgan Stanley’s Ethereum and Solana ETF Fees Compare

Morgan Stanley Ethereum Trust (MSSE) and Morgan Stanley Solana Trust (MSOL) began trading on NYSE Arca. Each accrues a 0.14% fee daily against net asset value. The previous floor for ether products was the 0.15% charged by Grayscale.

Bloomberg senior ETF analyst Eric Balchunas said the pricing bottoms out both categories.

“Morgan Stanley Ether and Solana ETFs are launching today.. both charge 0.14% instantly making them the cheapest in each category. Their bitcoin ETF is up to $400m in 4mo despite launching in middle of winter. Good sign,” wrote Balchunas.

Precedent supports him. Morgan Stanley Bitcoin Trust drew $34 million on its cheapest Bitcoin ETF debut in April, then reached $381 million by July 16. That is 11 times growth across 99 days, yet still only 2.7% of the firm’s $14 billion exchange-traded suite.

What the Prospectuses Reveal About the Staking Yield

Both trusts stake through Figment, Galaxy Blockchain Infrastructure, and Coinbase Canada. Those providers and the custodians take 5% of gross rewards. Morgan Stanley retains none, though its 0.14% fee applies separately.

The two funds are not symmetrical. MSOL intends to stake up to 100% of its SOL. MSSE targets 50% to 80% of its ether and caps staking at 80%.

Timing cuts deeper. The MSSE filing puts Ethereum’s validator activation queue at roughly 2.71 million ether as of July 6, an estimated 47-day wait. Queued ether earns nothing. Solana bonding takes two to three days, per the MSOL prospectus.

Holders receive rewards as monthly cash distributions, quarterly at minimum, funded by selling tokens.

Will Flows Follow? Three Things to Watch

Around 16,000 Morgan Stanley advisers oversee roughly $9.3 trillion, and the bank switched on spot trading through E*TRADE this month.

Ether funds absorbed lengthy ETF outflow streaks for much of 2026. Meanwhile SOL near $74 has slipped 3.8% since the prospectus priced it on July 8.

Watch creation baskets beyond the seed, the staked share of ether, which MSSE commits to publish daily, and the first distribution, which cannot land until validators clear the queue.

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