Morgan Stanley advances Bitcoin and Solana ETF plans as regulated crypto demand builds

• Morgan Stanley targets broader crypto access through regulated Bitcoin and Solana ETFs
• Passive ETF structures highlight institutional focus on custody security and compliance
• Wall Street banks accelerate digital asset exposure through approved investment vehicles

Morgan Stanley has filed with US regulators to introduce two cryptocurrency exchange traded funds tied to Bitcoin and Solana, signaling a continued push by major banks to package digital assets within regulated investment structures. The proposed Bitcoin Trust and Solana Trust aim to mirror spot market prices without active trading strategies, and according to filings with the US Securities and Exchange Commission, both funds will operate strictly as passive vehicles.

This design keeps the focus on price exposure rather than yield generation, and as a result, the sponsor said it will not sell holdings to chase returns beyond market movements. Shares of the trusts are expected to trade on public exchanges after additional regulatory approvals, while exchange listings will be disclosed later through standard 19b-4 filings.

If approved, the ETFs could reach more than 19 million Morgan Stanley wealth clients, and according to the firm’s shareholder letter, this client base sits within its wealth management arm.

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Fund structure highlights custody and risk controls

Morgan Stanley Investment Management will act as sponsor for both trusts, while CSC Delaware Trust Company has been named as the Delaware trustee. Custodial details remain limited in the initial filings, although the firm confirmed that most private keys will remain in cold storage.

A smaller portion of assets will stay in hot wallets to support daily operations, reflecting institutional expectations around security and regulatory compliance. Notably, the trusts will not pursue leverage or derivatives exposure, keeping risk closely aligned with spot market performance.

Strong ETF inflows support institutional confidence

Spot Bitcoin ETFs recently attracted $1.1B in inflows during the first two trading days of 2026, with analysts linking the activity to renewed investor positioning at the start of the year. The inflows highlight continued demand for regulated crypto exposure while also suggesting growing investor comfort with exchange traded structures.

Solana has also drawn increased attention as institutions explore diversified digital asset exposure, with the proposed trust offering price tracking without direct token custody.

Wall Street firms widen access to regulated crypto exposure

Morgan Stanley’s filings reflect a broader industry shift among major financial institutions, as regulated crypto products increasingly align with traditional wealth platforms. Bank of America recently allowed advisers to recommend exposure to 4 Bitcoin ETFs, with the change applying across Merrill, Bank of America Private Bank, and Merrill Edge platforms.

This move allows more than 15,000 advisers to discuss Bitcoin ETFs with eligible clients, consequently expanding access for investors seeking compliant digital asset exposure. Vanguard has also enabled crypto ETF trading for its clients, following guidance from BlackRock supporting limited Bitcoin allocations.

Morgan Stanley has paired its ETF filings with internal policy changes, allowing advisers to recommend crypto funds to IRA and 401(k) clients. Previously, access remained limited to clients holding at least $1.5M in assets, hence the ETF filings reinforce a broader shift toward mainstream digital asset access. Morgan Stanley’s latest move underscores how regulated products continue shaping institutional crypto adoption.

Also Read: Here’s What Many People Are Still Missing About XRP: Crypto Researcher Reveals

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