Key Highlights
- Wall Street banking giant Morgan Stanley submitted updated S-1 filings with the Securities and Exchange Commission for Ethereum and Solana exchange-traded funds
- Each product features an exceptionally competitive 0.14% yearly management fee — establishing a new low-cost benchmark in their categories
- Investors will receive 95% of all staking income, with only 5% allocated to service providers and custody partners
- Trading symbols will be MSSE for the Ethereum product and MSOL for the Solana fund
- The firm’s Bitcoin ETF, which debuted in April, has accumulated $300.7 million in total net investor inflows
Morgan Stanley has submitted revised S-1 registration documents to the Securities and Exchange Commission for a pair of cryptocurrency exchange-traded funds — one focused on Ethereum and another on Solana. These updated filings represent the second round of amendments for both applications, initially lodged with regulators in January.
This strategic expansion builds upon the institution’s triumphant Bitcoin ETF debut in April, which has successfully captured $300.7 million in aggregate net inflows through June 18.
Setting a New Industry Standard for Low Costs
The Morgan Stanley Ethereum Trust and Morgan Stanley Solana Trust will each impose an annual management fee of just 0.14%. This expense ratio is computed on a daily basis and deducted monthly from the net asset value of each investment vehicle.
At 0.14%, Morgan Stanley now claims the most competitive pricing in both market segments. By comparison, Grayscale’s Mini Ethereum Trust currently assesses a 0.15% fee, while Franklin Templeton’s Solana ETF charges 0.19%. Morgan Stanley’s Bitcoin ETF similarly launched with the 0.14% fee structure, positioning itself below competing products.
The Ethereum-focused fund will list under ticker symbol MSSE, while the Solana fund will trade as MSOL.
Staking Mechanics and Reward Distribution
Both investment products intend to stake portions of their digital asset holdings to generate supplementary returns for shareholders.
For the Ethereum investment vehicle, custodial partners will deposit ETH into staking smart contracts. Designated staking service operators will then operate validators for the trust. Figment Inc., Galaxy Blockchain Infrastructure, and Coinbase Canada have been selected as staking service partners for both funds.
Service providers and custodians combined will capture 5% of total staking proceeds. The balance—95%—remains within the fund for investor benefit. The fund sponsor will not collect any portion of staking revenue apart from the standard management expense.
The Ethereum documentation acknowledges that staked ETH faces slashing exposure. This means cryptocurrency can be deducted from a validator’s balance if protocol requirements are violated or validator performance fails.
As of May 18, 2026, approximately 3.64 million ETH awaited validator activation. Ethereum restricts new validator additions to 56 per epoch, translating to approximately 57,600 ETH daily. This constraint produces an anticipated delay of roughly 63 days before newly staked ETH begins generating rewards.
The Solana submission employs comparable staking architecture but did not specify a maximum daily staking threshold. Custody providers for the Solana fund will not possess private keys for any staked SOL tokens.
Current Application Status
The submission of subsequent amendments typically indicates ongoing dialogue with SEC officials and suggests the approval process is progressing.
Morgan Stanley is also under observation regarding a potential XRP ETF filing. The financial institution recently revealed holdings in existing XRP ETFs, sparking industry speculation about a forthcoming application.
The SEC recently greenlit BlackRock’s Bitcoin Premium Income ETF, which commenced trading on June 16.
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