Morgan Stanley’s newly launched spot Bitcoin exchange-traded fund has overtaken the WisdomTree Bitcoin Fund in total net inflows just over a week after entering the market.
Summary
- Farside Investors data reveals the Morgan Stanley Bitcoin Trust reached $103 million in total net inflows following a $19.3 million daily gain on Wednesday.
- The fund surpassed the WisdomTree Bitcoin Fund’s $86 million total by utilizing a market-low 0.14% fee to capture immediate investor interest.
Farside Investors data shows the Morgan Stanley Bitcoin Trust (MSBT) pulled in $19.3 million on Wednesday, pushing its total net inflows to $103 million. With this, MSBT has surpassed WisdomTree Bitcoin Fund (WBTC), which has secured $86 million since its debut in January 2024.
MSBT’s early success follows an April 8 launch featuring a 0.14% fee, a strategic move that undercuts the Grayscale Bitcoin Mini Trust by a single basis point.
Morgan Stanley’s fund now sits alongside 11 other spot Bitcoin ETFs, including market leaders like BlackRock’s iShares Bitcoin Trust (IBIT) and the Fidelity Wise Origin Bitcoin Fund, which hold $64.3 billion and $10.9 billion in net inflows, respectively.
MSBT currently trails the Franklin Bitcoin ETF ($375 million), the Valkyrie Bitcoin ETF ($326 million), and the Invesco Galaxy Bitcoin ETF ($245 million).
Bloomberg analysis indicates the average lifespan of ETFs is shrinking, dropping from 4.66 years in 2024 to approximately 3.5 years in 2025.
While over 40 ETFs faced liquidation during the first two months of 2026, none of these closures involved major crypto-linked funds. Those liquidated this year lasted an average of 21 months, representing half the lifespan seen in 2025 closures.
Bloomberg ETF analyst James Seyffart predicted in December that many crypto exchange-traded products would be liquidated by the end of 2027 due to a lack of demand. At the time of his prediction, the SEC was reviewing more than 126 pending applications for various crypto exchange-traded products.
