Morgan Stanley Unleashes Low-Fee Solana and Ether ETPs

Morgan Stanley has launched two new exchange-traded products (ETPs) that track ether and solana, expanding its digital asset lineup. The Morgan Stanley Ethereum Trust, trading as MSSE, and Morgan Stanley Solana Trust (MSOL), began trading on NYSE Arca on Tuesday, July 28.

The ETPs have a annual expense ratio of 0.14%, which is lower than that of existing rival funds in the same category. This move by Morgan Stanley is likely to put pressure on established crypto fund managers as it combines low fees with staking income.

Morgan Stanley plans to stake part of each trust's holdings to earn rewards from the Ethereum and Solana networks. However, this also introduces risks such as assets becoming temporarily unavailable during network entry and exit periods, and validator errors resulting in penalties known as slashing.