Key Takeaways
- Morgan Stanley Bitcoin Trust (MSBT) maintains zero outflow
- Lowest commission in the industry at 0.14% attracts institutional money
MSBT Achieves Rapid Growth with Low Fees and Large Customer Base
According to data from SoSoValue, Morgan Stanley (BTC) spot ETF MSBT, which was listed by Morgan Stanley on April 8, recorded a net inflow of approximately $194 million (about 30.4 billion yen) in the first month of its operation. During this time, there has been no day of outflows on a daily basis, with positive inflows on the 17th and no increase or decrease on the 5th.
MSBT drew attention as the first major U.S. bank to offer a spot Bitcoin ETF (exchange traded fund). The MSBT fee is 0.14% per year, which is lower than the industry’s largest IBIT (0.25%) and Grayscale’s Bitcoin Mini Trust (0.15%) and Bitwise (0.20%), which is the lowest rate in the current market.
Customer Assets Played Roles in Initial Inflow
In addition to the benefits of lower costs, Morgan Stanley’s sales takes advantage of a network of approximately $9.3 trillion in customer assets. This is also believed to have spurred the early inflow.
MSBT, which earned more than $100 million in the first week of its operation, the largest launch in Morgan Stanley’s ETF history, currently holds about 2,620 bitcoins and owns more than $240 million in assets under management (AUM).
MSBT Launch Among 1% of all ETF Launches
Eric Balchunas, Bloomberg’s senior ETF analyst, assessed the performance of MSBT as “equivalent to the top 1% of all ETF launches.”
The cryptocurrency market continued to see large-scale inflows of more than $500 million per day in early part of May this year. Institutional investors’ interest in Bitcoin remains steady. When BTC recovered to the $80,000 level, the entire U.S. spot ETF plotted daily inflows of more than $600 million in a week, which also contributed to the improvement of investor sentiment in the broad market.
