Morgan Stanley has expanded its cryptocurrency lineup, introducing exchange-traded products for Ether and Solana that offer staking rewards. The new ETPs come after the bank launched a Bitcoin fund earlier this year, signaling a broader push into digital assets for its clients.
Ether and Solana ETPs with staking
Morgan Stanley's new Ether and Solana ETPs are designed to give clients exposure to these cryptocurrencies while also earning staking rewards. Staking involves locking up tokens to help secure a blockchain network, generating yields in return. The bank is offering these products through its wealth management platform, making them available to eligible clients.
Following the Bitcoin fund
The launch follows Morgan Stanley's earlier introduction of a Bitcoin fund earlier this year. That move made it one of the first major U.S. banks to offer direct crypto exposure to its clients. The addition of Ether and Solana ETPs broadens the bank's digital asset menu.
Staking as a differentiator
Unlike the Bitcoin fund, which doesn't offer staking because Bitcoin uses proof-of-work, the Ether and Solana ETPs include staking rewards. That could make them more attractive to income-focused investors. The yields are generated from the staking activities of the underlying assets.
With three crypto products now live, Morgan Stanley is positioning itself as a gateway for traditional investors to access digital assets. The bank hasn't announced plans for additional coins or products, but the expansion suggests it sees demand from its client base. The staking feature also raises questions about how the bank will handle the operational and regulatory aspects of staking rewards.
