Morgan Stanley has submitted a Kind S-1 registration assertion to the U.S. Securities and Trade Fee outlining the construction of a proposed spot Bitcoin exchange-traded fund known as the Morgan Stanley Bitcoin Belief.
📈 @MorganStanley filed for a spot #Bitcoin ETF, naming @Coinbase as custodian and BNY Mellon as administrator. pic.twitter.com/FegvRNZQE8
— BTC Instances (@BTCTimescom) March 4, 2026
In keeping with the submitting, the agency plans to make use of Coinbase Custody and the Financial institution of New York Mellon (BNY) to safeguard the belief’s Bitcoin holdings.
The 2 establishments would act as custodians for the Bitcoin, answerable for safe storage and dealing with transfers related to the creation and redemption of ETF shares.
The doc describes a custody framework supposed to align with established institutional practices.
A lot of the Bitcoin held by the belief can be saved in offline chilly storage programs, the place non-public keys stay disconnected from the web to cut back publicity to cyber threats.
Some property may very well be moved briefly into buying and selling wallets when shares of the ETF are created or redeemed.
The submitting notes that custody insurance coverage is in place, although protection is shared amongst shoppers and should not defend in opposition to each doable loss situation.
Along with its position in digital asset custody, BNY would carry out a number of operational capabilities for the fund.
The financial institution is predicted to function the ETF’s administrator, switch agent, and money custodian, managing fund accounting, sustaining shareholder data, and overseeing money actions tied to ETF exercise.
The proposed ETF can be structured as a passive funding automobile designed to trace the market worth of Bitcoin. As a substitute of counting on derivatives or leverage, the belief would maintain Bitcoin straight.
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