Morgan Stanley’s Bitcoin exchange-traded fund has climbed to more than $391 million in assets under management less than a quarter after its April debut, according to Bitcoin Magazine.
The fund, listed on NYSE Arca, was described in the report as the first Bitcoin ETF launched by a bank. It started fast, bringing in more than $33 million in fresh cash on its first day. Since then, assets have risen to just over $391 million, a level the report said many ETFs never reach at all, let alone within one quarter.
$15.7 million came in this week
Bloomberg Intelligence senior ETF analyst Eric Balchunas said Friday that the product has been one of the most successful funds launched this year so far. Farside Investors data shows investors added $15.7 million in new cash to the fund this week alone.
The report frames the ETF’s growth as part of Morgan Stanley’s broader crypto effort. In 2021, the bank began offering wealthy clients Bitcoin exposure through funds such as those run by Galaxy Digital. Last year, CEO and Chairman Ted Pick said Morgan Stanley was working with regulators to determine how it could offer crypto safely. In April, Amy Oldenburg, the bank’s head of digital assets, said client education, rather than product design, was the central challenge for Bitcoin adoption.
U.S. Bitcoin ETFs turned positive again
After weeks of outflows and weak price action, U.S. Bitcoin ETFs have drawn fresh money over the past seven days. Farside Investors data cited in the report shows the products have taken in a combined $274 million so far this week.
Before Thursday, the funds had been on a seven-day winning streak that brought in nearly $1 billion. On Thursday, every ETF posted outflows except Morgan Stanley’s product.
Bitcoin traded at $64,096
Bitcoin was recently changing hands at $64,096, down more than 1% over the past 24 hours. Over a seven-day period, the cryptocurrency was described as little changed.
Last week, European asset manager CoinShares said that even though investors were putting fresh money back into Bitcoin ETFs, other factors could keep digital asset markets from moving higher. “We see no significant upside potential from here,” James Butterfill, CoinShares’ head of research, wrote.
The report first appeared in Bitcoin Magazine and was written by Mathew Di Salvo.