Morgan Stanley Updates Bitcoin ETF Filing, Launch May Come Next Week

Highlights:

• Morgan Stanley moved closer to launching its spot Bitcoin ETF after filing its fourth amended S-1.
• The proposed fund would hold real Bitcoin and trade on NYSE Arca as MSBT.
• The ETF would charge a 0.14% fee, but SEC approval is still pending.

Morgan Stanley is getting closer to launching its own spot Bitcoin exchange-traded fund (ETF). On Wednesday, the company submitted an amended S-1 filing to the U.S. Securities and Exchange Commission (SEC). The S-1 is the official registration form used for new securities offerings, and an amended filing usually means the issuer is responding to SEC comments or updating key details before launch.

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Morgan Stanley first filed for the Morgan Stanley Bitcoin Trust on 6 January. Since then, it has submitted four amended S-1 filings. The fund is designed to track Bitcoin’s price and would hold actual Bitcoin and allow investors to gain exposure by buying shares through a regular brokerage account. As a result, investors would not need to purchase or store the cryptocurrency themselves. 

According to its latest filing with the U.S. SEC, the trust is expected to list on NYSE Arca under the ticker MSBT.

NEW: Updated filing from @MorganStanley for their Bitcoin ETF $MSBT. Looks like minor tweaks that i'm guessing are based on feedback/comments from the SEC. My base assumption is that this is the last amendment before we get a finalized prospectus and this thing launches next week pic.twitter.com/wY6ISg6FZR

— James Seyffart (@JSeyff) April 1, 2026

How the Morgan Stanley Bitcoin Trust Would Work

The latest filing, known as Amendment No. 4 to Form S-1, sets out how the trust would operate. Morgan Stanley Investment Management Inc., a subsidiary of the global financial firm, would serve as the delegated sponsor. The trust would track Bitcoin’s performance using the CoinDesk Bitcoin Benchmark 4PM NY Settlement Rate. 

This index is based on trading data from several major and vetted cryptocurrency exchanges. Because of this, the ETF would reflect broader market prices instead of depending on a single exchange.

The Morgan Stanley Bitcoin Trust would be a simple and passive Bitcoin fund. It would hold real Bitcoin and aim to follow its price as closely as possible. The fund would not use leverage, derivatives, or speculative trading strategies. Instead, it would focus only on tracking Bitcoin’s value, minus a small annual fee. 

Its Bitcoin would be stored with two regulated custodians, The Bank of New York Mellon and Coinbase Custody Trust Company, to help keep the assets secure. Investors could buy and sell the fund’s shares through regular brokerage accounts, just like stocks and traditional ETFs. This would make it easier for people to get Bitcoin exposure without buying and storing the cryptocurrency on their own. 

In addition, authorized firms such as Virtu Americas and Jane Street Capital would create and redeem shares in blocks of 10,000. This structure helps the ETF’s market price stay close to the value of the Bitcoin it holds.

Bloomberg ETF analyst James Seyffart said on X that this could be the final amendment before the completed prospectus is filed. “My base assumption is that this is the last amendment before we get a finalized prospectus and this thing launches next week,” he added.

Low Fee Structure but SEC Approval Still Pending

The trust would charge a yearly fee of 0.14%. This fee would cover most costs, including custody, administration, and regulatory compliance. The filing also says the fund would have multiple layers of oversight. Morgan Stanley would handle daily operations, but a trustee based in the Cayman Islands would have final responsibility and monitor the sponsor’s work.

SEMI-SHOCK: Morgan Stanley's bitcoin ETF will charge 14bps, making it the cheapest spot bitcoin ETF on the market and 11bps cheaper than $IBIT. This means none of their advisors will feel conflicted using it and they have shot at getting outside assets. Smart. Launch prob in next… https://t.co/hxg3O1y6tR pic.twitter.com/BEiguHtXzo

— Eric Balchunas (@EricBalchunas) March 27, 2026

Morgan Stanley’s move shows that big financial firms are taking regulated Bitcoin products more seriously. However, the ETF is not approved yet. The SEC must still clear the filing, and investors should remember that Bitcoin remains volatile.

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