Morgan Stanley Bitcoin Trust achieved $103 million in net Capital in just over a week, surpassing WBTC's accumulated inflows since the beginning of 2024, with a record fee of 0.14%, and Goldman Sachs has just filed to join the fray.
Morgan Stanley Bitcoin Trust (MSBT) took just six trading sessions to surpass WisdomTree Bitcoin Fund (WBTC) in total net Capital , a remarkable milestone considering WBTC took over two years to accumulate $86 million since its launch in January 2024.
After registering an additional $19.3 million on Wednesday, MSBT raised its total net Capital to $103 million, according to data from Farside Investors. The fund launched on April 8th with a market-low fee of 0.14%, one basis point lower than the Grayscale Bitcoin Mini Trust ETF, a clear competitive advantage in an increasingly homogeneous product segment.
The current growth trajectory puts MSBT in the sights of the next three funds: the Invesco Galaxy Bitcoin ETF with $245 million, the Valkyrie Bitcoin ETF with $326 million, and the Franklin Bitcoin ETF with $375 million in net Capital . This gap could easily be narrowed quickly if the current Capital pace is maintained, especially since Morgan Stanley has the advantage of distribution through its extensive network of financial advisors, a channel many smaller funds lack.
The Bitcoin ETF market is expanding, but not all of them are surviving.
The appeal of MSBT comes amid a growing wave of traditional financial institutions entering the Bitcoin ETF market. On Tuesday, Goldman Sachs, once one of the most vocal critics of cryptocurrencies on Wall Street, filed with the SEC to launch a Bitcoin-linked ETF.
Goldman's involvement signals clearly that offering products that access Bitcoin is gradually becoming a fundamental requirement for any large asset management institution, rather than a gamble.
However, the market is highly polarized. BlackRock's iShares Bitcoin Trust ETF continues to outpace the rest with $64.3 billion in net Capital , while Fidelity Wise Origin Bitcoin Fund ranks second with $10.9 billion, creating an almost insurmountable gap with the chasing pack.
A Bloomberg report notes that the Medium lifespan of ETFs has decreased from 4.66 years in 2024 to approximately 3.5 years in 2025, with over 40 ETFs liquidated in the first two months of 2026 alone.
Bloomberg analyst James Seyffart predicts that many crypto asset ETPs could shut down by the end of 2027 due to a lack of demand, a reminder that in this race, an impressive launch speed is not a guarantee of long-term survival.
