Morgan Stanley Expands Planned Crypto ETF Offerings With Addition of Ethereum Trust

Morgan Stanley Moves to Launch Ethereum Trust

Morgan Stanley has submitted paperwork to the U.S. Securities and Exchange Commission (SEC) to introduce an Ethereum Trust, following its previous filings for spot Bitcoin and Solana exchange-traded products. This marks another step in the firm's growing involvement with cryptocurrencies, with the new trust expected to debut in early 2026.

On Tuesday, the financial institution filed a registration statement for the Morgan Stanley Ethereum Trust, an exchange-traded fund (ETF) that aims to mirror the value of ETH and provide staking rewards to its investors.

These filings coincide with a shift in regulatory attitudes under President Donald Trump’s administration, which has shown increased openness toward cryptocurrency markets. This environment has encouraged established financial firms to expand their digital asset ETF offerings.

According to the Form S-1, the Ethereum Trust will operate as a passive investment product managed by Morgan Stanley Investment Management. The trust will directly hold ether, and its share value will be calculated daily using a pricing benchmark from leading crypto exchanges.

The document also notes that the trust plans to stake a portion of its ETH assets and distribute any resulting rewards to shareholders at least once every quarter, in accordance with IRS guidelines.

At the time of reporting, ETH was valued at approximately $3,211, reflecting a 0.7% decrease for the day, based on CoinGecko’s data.

Ongoing Growth in Crypto Offerings

This latest initiative is part of Morgan Stanley’s broader strategy to expand its presence in the digital asset space.

In October, the bank extended access to crypto investment funds to all its clients, including those with retirement accounts, after previously restricting such opportunities to high-net-worth individuals.

Additionally, last September, Morgan Stanley announced a partnership with Zerohash, allowing clients to trade Bitcoin, Ethereum, and Solana through its E*Trade platform.

Earlier in the previous year, CEO and Chairman Ted Pick emphasized that the bank’s involvement in crypto is closely tied to regulatory clarity and compliance.

“For us, the equation is really around whether we, as a highly regulated financial institution, can act as transactors,” Pick explained in a January interview.