Morgan Stanley Files for Spot Crypto ETFs; SOL Jumps 10% on Wallet News
The Wall Street giant becomes the first major bank to seek issuer status for crypto ETFs, including a staking-enabled Ethereum fund, while E*Trade prepares for spot trading in H1 2026.
Morgan Stanley has formally applied to issue its own spot Bitcoin, Ethereum, and Solana ETFs, marking the first time a top-tier U.S. bank has moved to sponsor crypto investment vehicles rather than simply distributing them. The filing, submitted to the SEC on Jan. 8, coincides with the bank’s announcement of a proprietary digital wallet launching in H2 2026 and the integration of spot crypto trading on E*Trade by the first half of the year.
Markets reacted immediately to the institutional aggression. Solana (SOL) led the majors, surging 10% to $137.58, while Bitcoin (BTC) reclaimed the $90,000 level (+3%) on volume that suggests front-running by desk traders anticipating approval.
The Receipt: Issuer Status & ZeroHash Partnership
Unlike competitors content with collecting fees on BlackRock’s IBIT, Morgan Stanley Investment Management is seeking to become a direct issuer. According to the S-1 filings, the proposed Morgan Stanley Ethereum Trust includes a provision to stake a portion of held assets. A regulatory gauntlet few issuers have dared to run since 2024.
Simultaneously, the bank confirmed a strategic partnership with infrastructure provider ZeroHash to power the E*Trade expansion. By H1 2026, E*Trade’s retail user base will gain direct spot execution for BTC, ETH, and SOL, moving beyond the current limitations of ETF-only exposure.
The Institutional Pivot
The roadmap extends beyond simple trading. The proprietary wallet, slated for late 2026, is engineered to custody tokenized real-world assets (RWAs), including private equity shares and real estate. This aligns with the bank’s broader thesis on the convergence of private markets and public blockchains.
This reflects recognition that the financial service infrastructure is changing. Over time, we will be able to do more with blending traditional finance and decentralized finance ecosystems. Jedd Finn, Head of Wealth Management at Morgan Stanley
The inclusion of Solana in the initial ETF filing puts Morgan Stanley ahead of the curve, validating the network’s status as the third institutional pillar alongside Bitcoin and Ethereum.
