Morgan Stanley Files for Bitcoin and Solana ETFs with the US SEC

Key Insights:

• Morgan Stanley submitted Bitcoin and Solana ETF applications to the U.S. SEC.
• The $9 trillion financial giant also plans to launch Bitcoin, ETH, and SOL trading via eTrade.
• Analysts predicted further upside momentum in BTC and SOL prices.

$9 trillion Morgan Stanley has filed for Bitcoin and Solana ETFs with the U.S. Securities and Exchange Commission (SEC). With this, the financial giant deepens its presence in the crypto space.

These ETFs will give institutional investors access to the prices of these leading cryptocurrencies. Traders in BTC and SOL responded immediately to the announcement.

Morgan Stanley Files S-1 For Bitcoin and Solana ETF

According to the US SEC filings on January 6, Wall Street giant Morgan Stanley submitted S-1 for both Bitcoin and Solana ETFs.

The Bitcoin ETF aims to generate returns by tracking the price of BTC, giving investors direct exposure to the leading cryptocurrency.

Morgan Stanley has not yet shared details like the exchange or custodian in its filing. For now, it plans to allow in-kind creation and redemption for the fund.

The Solana ETF will also aim to generate returns by tracking the price of SOL. Morgan Stanley plans to use staking to help generate yields for investors.

Morgan Stanley also plans to allow in-kind creation and redemption for the Solana ETF. The company will share more details, such as custodian, fees, exchange, and ticker, in future filings.

By making these filings, Morgan Stanley is working to keep client assets as it faces competition from crypto-focused companies.

If approved, these Solana and Bitcoin ETFs could help establish Solana as a strong blockchain option and encourage more institutions to adopt it.

As The Coin Republic reported, Morgan Stanley announced plans to launch crypto trading for its retail customers through its E-trade division this year.

Jed Finn, who leads wealth management at Morgan Stanley, said they plan to list Bitcoin, Ethereum, and Solana first.

Morgan Stanley has also made Bitcoin investments available to all its wealth clients, lifting previous restrictions. The company will offer Bitcoin and Solana ETFs once the SEC approves.

Morgan Stanley Joins Other Bitcoin & Crypto ETF Issuers

Morgan Stanley aims to join other major crypto ETF issuers, such as BlackRock, Franklin Templeton, and Bitwise.

There are already 12 spot Bitcoin ETFs, and together these funds have total net assets of $123.52 billion.

Spot Bitcoin ETFs saw their biggest daily net inflow since the October crypto crash, taking in nearly $700 million on January 5.

U.S. spot Bitcoin ETFs had net inflows of $697 million, with BlackRock’s IBIT leading at $372 million, according to Farside Investors.

Spot Solana ETFs brought in $16.24 million in inflows. Total assets under management for Solana ETFs have now passed $1 billion, showing growing demand.

Analysts Predict Rise in BTC and SOL Prices

Analysts are forecasting upward momentum for Bitcoin price amid bullish sentiment in the broader crypto market.

Popular analyst Michael van de Poppe predicted a short consolidation followed by a breakout to $100,000. Over $1 billion in spot Bitcoin ETFs inflows in the last two days support the uptrend.

“I don’t think we’ll get a correction as deep as this box is, as there’s a huge demand for Bitcoin,” he added.

Crypto analyst Ted Pillows sees Bitcoin price reclaiming key levels. Daily closes above the zone to push BTC to $100,000 in a few weeks.

However, BTC could drop to $90,000-$91,000 support zone if bulls fail to hold the advance.

Bitcoin price was trading around $94,000 at the time of writing. The 24-hour low and high were $92,374 and $94,762, respectively.

Meanwhile, Solana price jumped more than 5% to reclaim $140. The price was trading at $141.08 at the time of writing, supported by a 35% increase in trading volume.