Morgan Stanley to launch 'Ethereum ETF'…Files application with U.S. SEC

Global investment bank (IB) Morgan Stanley is launching an Ethereum (ETH) exchange-traded fund (ETF).

On the 7th (local time), according to CoinDesk, Morgan Stanley on the previous day (6th) filed an S-1 with the U.S. Securities and Exchange Commission (SEC) to launch an Ethereum trust product. Cointelegraph said, "In that filing, Morgan Stanley states it plans to work with third-party staking service providers to generate additional passive income," and "If approved by the SEC, it would become an important demand base for Ethereum."

Morgan Stanley also filed applications that day with the SEC to list Bitcoin (BTC) and Solana (SOL) exchange-traded funds (ETFs). CoinDesk said, "(Morgan Stanley's) Bitcoin ETF will hold Bitcoin directly without using derivatives or leverage," and "(the ETF) adopts a passive investment approach and will not attempt to trade Bitcoin based on market conditions."

Morgan Stanley has been gradually expanding its crypto business since last year. In October last year, it also provided cryptocurrency investment advisory services to its clients. CoinDesk said, "Morgan Stanley's expansion into the crypto sector shows a trend of traditional finance (TradFi) institutions seeking to offer digital asset products in a regulatory-friendly manner."