Investment bank Morgan Stanley has launched two exchange-traded products for Ethereum and Solana that feature built-in staking rewards. Trading on the NYSE Arca platform under the tickers MSSE and MSOL, the products offer regulated spot exposure to digital assets with a 0.14% sponsor fee. The funds automatically pass network staking yields directly to shareholders while utilizing a dual-custody model between traditional banking and crypto-native partners.
Morgan Stanley has expanded its digital asset investment offerings by launching spot exchange-traded products (ETPs) for Ethereum and Solana that incorporate network staking rewards.
The products the Morgan Stanley Ethereum Trust and the Morgan Stanley Solana Trust began trading on the NYSE Arca exchange. The instruments give institutional and retail investors exposure to spot cryptocurrency prices while generating yield through proof-of-stake blockchain validation.
The newly launched trusts carry an annualized sponsor fee of 0.14%, making them among the lowest-cost spot digital asset products in their respective asset classes. Both funds track custom 4 PM New York benchmark settlement rates provided by CoinDesk Indices.
Unlike passive cryptocurrency funds that only track spot prices, the Morgan Stanley ETPs pass generated staking rewards directly to shareholders:
Staking Allocation: The Ethereum trust can allocate between 50% and 80% of its holdings to network staking, while the Solana trust can stake up to 100% of its assets.
Yield Distribution: The firm stated that it will not retain any portion of the underlying staking rewards, transferring all generated yields directly to fund investors.
Custody Structure: To balance operational security with regulatory compliance, the trusts rely on a dual-custody setup using The Bank of New York Mellon alongside Coinbase Custody Trust Company. External staking infrastructure services are provided by third-party specialists, including Galaxy and Figment.
Under the trust rules, the products operate as passive investment vehicles that do not use leverage or financial derivatives.
The introduction of the Ethereum and Solana ETPs follows Morgan Stanley’s earlier rollout of its spot Bitcoin Trust, which accumulated over $381 million in assets under management within months of its launch. With the addition of MSSE and MSOL, the firm now offers regulated vehicles across three of the largest digital assets by market capitalization.
Major financial institutions have increasingly sought to integrate staking mechanisms into crypto fund structures. Staking allows token holders to earn network yields by committing digital tokens to secure proof-of-stake blockchains.
Traditional staking yields generally range near 2.8% annually for Ethereum and between 6% and 8% for Solana. Offering these returns within a regulated brokerage wrapper allows traditional investors to gain yield without directly managing private keys or crypto wallets.
Morgan Stanley’s launch of low-fee, staking-enabled digital asset products marks a key step in bringing decentralized yield mechanics into traditional finance. By pairing institutional custody with automated reward distributions, major asset managers continue to build accessible bridges between traditional equity markets and public blockchain networks.
