Morgan Stanley is charging 0.14% in fees on its two upcoming crypto exchange-traded funds — one tracking Ethereum, the other Solana. That makes them the cheapest crypto ETFs in the U.S. and globally, according to Bloomberg Intelligence ETF analyst Eric Balchunas.
The fee structure
The 0.14% expense ratio is well below the industry average for crypto ETFs. Most spot Bitcoin ETFs launched earlier this year carry fees between 0.19% and 0.39%, with some waiving fees for the first few months. Morgan Stanley's flat 0.14% on both the Ethereum and Solana products would undercut every major competitor from the start.
The bank hasn't disclosed a launch date yet. The ETFs are still awaiting regulatory approval from the Securities and Exchange Commission.
What Balchunas said
Eric Balchunas called the pricing 'the cheapest in the US and world' in a note circulated this week. He pointed out that most traditional asset managers charge a premium for crypto exposure, but Morgan Stanley is effectively treating these products like plain-vanilla index funds.
Balchunas has been tracking the ETF fee wars closely. His comment suggests that the pricing could pressure other issuers to cut their own fees or offer new incentives.
Morgan Stanley is one of the largest wealth managers on the planet. Its decision to offer crypto ETFs at a rock-bottom fee signals that the firm sees serious demand from institutional and retail clients. If the funds clear the SEC, they'll be available to the bank's massive brokerage network — potentially pulling billions into Ethereum and Solana exposure.
The timing isn't accidental. Spot Bitcoin ETFs launched in January and have already accumulated over $50 billion in assets under management. Ethereum and Solana ETFs are the next wave, and issuers are scrambling to win market share. A low fee is a classic way to grab attention.
No other major bank has yet matched Morgan Stanley's price point. That could change quickly once these funds go live.
The SEC has a final deadline to rule on the Ethereum ETF filings in late July. The Solana ETF application is a few steps behind. If approved, Morgan Stanley's products will likely hit the market within weeks. Investors will then see whether the ultra-low fee strategy works as well in crypto as it has in traditional ETFs.
