Morgan Stanley adds Ethereum staking ETF filing to growing crypto lineup

1 day ago

Morgan Stanley has filed with the US Securities and Exchange Commission (SEC) to motorboat a spot Ether exchange-traded money (ETF), adding to a increasing database of crypto products from the concern banking giant.

The US concern slope filed an S-1 signifier to found the Morgan Stanley Ethereum Trust, an ETF that seeks to buy, hold, and way the terms of spot Ether (ETH), according to a Tuesday filing with the SEC.

The filing states that the money volition not question to “speculatively sell” Ether to recognize further returns, but it plans to prosecute third-party staking services providers to involvement an undisclosed magnitude of their holdings for further passive yield.

The filing is Morgan Stanley’s third cryptocurrency ETF filing, aft the slope made 2 akin filings connected Tuesday, 1 for a Bitcoin (BTC) ETF and different for a Solana (SOL) ETF.

Morgan Stanley Investment Management was listed arsenic the sponsor of the ETF, portion CSC Delaware Trust Company appears arsenic the Delaware trustee. The fund’s custodians and speech were not yet described successful the S-1 filing.

The filing signals deeper crypto ambitions from Morgan Stanley, which reportedly enabled its fiscal advisors to urge crypto funds starting successful October 2024, to clients with idiosyncratic status accounts (IRAs) and 401(k)s.

Spot Ether ETFs resilient contempt grounds $19 cardinal crypto marketplace correction

Subject to the SEC’s approval, the caller money could adhd different meaningful root of request for Ether, considering that spot Ether ETFs person been resilient contempt the grounds October marketplace crash.

US spot Ether ETFs lone sold astir 18% of their flows from their highest of $15 billion, contempt Ether’s mediocre terms show since the $19 cardinal marketplace crash, according to James Seyffart, crypto and ETF expert astatine Bloomberg.

“They’ve present seen astir $2.8 cardinal successful outflows since their highest of $15 cardinal close earlier the 10/10 liquidations,” helium wrote successful a Monday X post.

Whales, oregon ample cryptocurrency investors, person besides been expanding their spot Ether exposure, contempt wide selling from the industry’s champion traders by returns, tracked arsenic “smart money” traders by Nansen.

Whales bought a cumulative $4.83 cardinal spot Ether tokens crossed 32 wallets during the past week, portion astute wealth traders sold $8.9 cardinal crossed 63 wallets successful the aforesaid period, according to crypto quality level Nansen.

Still, caller cryptocurrency wallets created implicit the past 14 days person added $2.34 cardinal worthy of spot Ether tokens, signaling an implicit threefold request summation from caller entrants during the past week.