Morgan Stanley’s newly launched spot Bitcoin ETF has quickly gained traction, surpassing the WisdomTree Bitcoin Fund in total net inflows just over a week after its market debut.
Summary
Data from Farside Investors shows the Morgan Stanley Bitcoin Trust (MSBT) has reached $103 million in total net inflows, including a $19.3 million single-day gain on Wednesday.
The fund has overtaken the WisdomTree Bitcoin Fund (WBTC), which has recorded $86 million in inflows since its January 2024 launch.
A competitive 0.14% fee has helped MSBT attract strong early investor interest.
Strong debut for MSBT
Farside Investors data indicates that MSBT added $19.3 million in inflows on Wednesday, pushing its total to $103 million. This milestone places it ahead of WisdomTree’s WBTC, which has accumulated $86 million since launch.
The ETF’s early momentum is largely attributed to its low 0.14% fee, undercutting competitors like the Grayscale Bitcoin Mini Trust by a narrow margin and making it one of the most cost-effective options in the market.
Position among competitors
MSBT joins a growing field of spot Bitcoin ETFs, including industry leaders such as BlackRock’s iShares Bitcoin Trust (IBIT) and Fidelity Investments’s Wise Origin Bitcoin Fund, which have amassed $64.3 billion and $10.9 billion in net inflows, respectively.
Despite its strong start, MSBT still trails several mid-tier competitors, including the Franklin Bitcoin ETF ($375 million), Valkyrie Bitcoin ETF ($326 million), and Invesco Galaxy Bitcoin ETF ($245 million).
Broader ETF market trends
According to Bloomberg data, the average lifespan of ETFs is declining, dropping from 4.66 years in 2024 to around 3.5 years in 2025.
More than 40 ETFs were liquidated in the first two months of 2026 alone, though none were major crypto-linked funds. Those closures averaged just 21 months in lifespan—roughly half the duration seen in 2025.
Bloomberg ETF analyst James Seyffart previously warned that many crypto exchange-traded products could face liquidation by 2027 due to insufficient demand. At the time, the U.S. Securities and Exchange Commission was reviewing over 126 applications for crypto-related ETFs.
