Morgan Stanley, one of the world’s largest and most established financial institutions, has taken a bold step into the rapidly expanding world of cryptocurrencies by filing for regulatory approval to launch two new exchange-traded funds (ETFs) tied to Bitcoin and Solana. The move represents a major evolution in how traditional finance views digital assets and could signal deeper integration between Wall Street and crypto markets.
The filings, submitted to the U.S. Securities and Exchange Commission (SEC) on January 6, 2026, mark the first time a major U.S. bank is seeking to directly issue crypto-linked ETFs. This is a significant departure from past approaches where banks primarily provided custodial services or indirect access to digital assets rather than creating their own investment products.
According to regulatory documents, Morgan Stanley plans to launch a Bitcoin ETF and a Solana ETF, each designed to track the price movements of the underlying cryptocurrency rather than using derivatives or leveraged strategies. If approved, these funds would allow a broad range of investors, from institutional to retail to gain exposure to Bitcoin (BTC) and Solana (SOL) without having to hold the actual digital tokens themselves.
“It’s interesting to see Morgan Stanley move into a commoditised market,” said Bryan Armour, an ETF analyst at Morningstar. “I suspect they want to migrate clients already investing in bitcoin into their ETFs, which could give them a fast start despite their late entry,” he added.
Armour also highlighted that the entry of a major bank into crypto ETFs lends additional legitimacy to the digital asset class and could encourage other traditional financial institutions to follow with their own products.
The filing strategy aligns with a broader trend in financial markets. Over the last few years, asset managers and financial firms have increasingly launched spot Bitcoin ETFs, and more recently, products tied to other assets like Ethereum. These crypto-linked funds have gained traction with investors due to their liquidity, regulatory oversight, and relative ease of access compared to buying and storing digital assets directly.
While Morgan Stanley is not the first firm to offer crypto ETFs, that distinction belongs to asset managers like BlackRock and others, it is the first major bank with a substantial wealth management business to seek approval for such products. This could broaden the adoption of regulated digital asset exposure across its global network of investors.
Morgan Stanley’s application comes at a time when the crypto ETF market continues to balloon. Spot Bitcoin ETFs have recently drawn significant inflows, showing investors’ renewed appetite for regulated digital exposure. This is part of a larger shift as traditional players increasingly embrace digital assets, and regulatory clarity around crypto products improves.
Importantly, the proposed ETFs are designed as “passive investments,” meaning they simply hold and track the underlying asset rather than attempting to trade actively or generate excess returns. This structure is familiar to investors who already participate in traditional ETF markets and offers a regulated way to gain exposure to the volatile world of cryptocurrencies.
From a broader perspective, Morgan Stanley’s move underscores the accelerating institutional acceptance of digital assets that were once viewed with skepticism by mainstream finance. Seeing a major bank step into the crypto ETF arena could open the doors for more financial firms, including banks that have historically shied away from digital assets to explore similar offerings.
“It’s interesting to see Morgan Stanley move into a commoditised market,” said Bryan Armour, ETF analyst at Morningstar. “I suspect they want to migrate clients already investing in bitcoin into their ETFs, which could give them a fast start despite their late entry.”
