MSBT Hits 30 Trading Days Without Outflows

Morgan Stanley’s spot Bitcoin ETF MSBT began trading on NYSE Arca on April 8 and recorded 30 consecutive trading days without a single outflow through May 8, drawing roughly $194 million and raising assets above $240 million.

Trading records show MSBT posted 17 inflow days and five flat sessions in that span. The ETF launched with about $30.6 million in initial deposits and $34 million in trading volume on its first day. Net inflows increased the fund’s bitcoin holdings to about 2,920 BTC.

MSBT charges a 0.14% annual fee, the lowest among major spot Bitcoin ETFs. Over the same period, competing ETFs from BlackRock, Fidelity and ARK Invest recorded net outflows while bitcoin traded between the mid-$70,000s and low-$80,000s.

Morgan Stanley has about 16,000 financial advisors overseeing more than $9 trillion in client assets, giving MSBT an in-house distribution channel that pure-play issuers do not have.

ETF analyst Eric Balchunas wrote, “MSBT coming at 14 bps could entice others to cut, or new entrants to come in even lower. Fee wars are part of life in the Terrordome – hell for issuers, but heaven for investors.”

MSBT’s roughly $240 million asset base is smaller than the largest spot Bitcoin ETFs. Future inflows will depend on bitcoin price movements and how competitors set fees and distribute their funds.