Morgan Stanley Investment Management has launched two new crypto trusts on NYSE Arca: the Morgan Stanley Ethereum Trust and the Morgan Stanley Solana Trust. The spot exchange-traded products will stake portions of their holdings, the firm said. The move deepens Morgan Stanley's existing suite of crypto ETPs.
A bigger crypto footprint
The new trusts add to Morgan Stanley's existing crypto ETP offerings. The firm first dipped into the space with a Bitcoin trust, and now it's branching out to Ethereum and Solana. The launch signals that major asset managers see demand beyond just bitcoin.
Staking included
Both trusts will stake a portion of their assets. That's a notable feature — many earlier spot crypto ETPs didn't offer staking. By staking, the trusts can earn rewards on the underlying tokens, potentially boosting returns for holders. It also means the products are more actively managed than a simple buy-and-hold structure.
NYSE Arca listing
NYSE Arca is a major exchange for listed products. Listing there gives the trusts visibility and liquidity. It's the same exchange that hosts many other crypto ETPs. The choice of venue matters for institutional investors who prefer trading on established exchanges.
The Ethereum and Solana trusts are now trading on NYSE Arca.
