Morgan Stanley's Low-Cost Bitcoin ETF Gains Ground on iShares

The Bitcoin ETF market has seen a surge in popularity, with over a dozen funds now available to investors. Among them are two of the largest and most prominent options: the iShares Bitcoin Trust ETF (IBIT) and the Morgan Stanley Bitcoin Trust ETF (MSBT). While both funds track the price of Bitcoin, they have some key differences that may make one more appealing than the other.

The iShares Bitcoin Trust ETF is currently the largest fund in its category, with over $46.5 billion in assets under management. It has a 30-day median bid/ask spread of just 0.03%, making it an attractive option for large transactions. However, its annual expense ratio of 0.25% is not the lowest among its peers.

The Morgan Stanley Bitcoin Trust ETF, on the other hand, has a lower annual expense ratio of 0.14%. It launched in April and has already attracted $392.3 million in assets under management. Its lower fee may make it more appealing to investors looking for a cost-effective option.