Group 1 - Morgan Stanley has filed a Form S-1 registration statement with the SEC to launch a spot bitcoin exchange-traded fund (ETF) named the Morgan Stanley Bitcoin Trust, marking a shift towards in-house crypto products [1][2] - The proposed ETF is designed as a passive fund that directly tracks Bitcoin's price performance in U.S. dollars, holding bitcoin directly without using leverage or derivatives [2][3] - The trust will have its net asset value calculated daily based on aggregated activity from major spot bitcoin exchanges, ensuring transparency in pricing [2] Group 2 - Shares of the trust are expected to be listed on a national securities exchange, pending SEC approval, with details on the ticker symbol yet to be disclosed [3] - Authorized participants will create and redeem shares in large blocks, either in cash or in kind, while retail investors will trade shares on the secondary market [3][4] - The U.S. market for spot bitcoin ETFs is rapidly expanding, with current products holding over $123 billion in net assets, representing approximately 6.6% of Bitcoin's total market capitalization [5] Group 3 - Morgan Stanley's move into crypto is part of a broader strategy, as the firm has also filed for a Solana-tracking trust, indicating an increased focus on crypto-linked investment vehicles [7] - The Solana trusts have attracted nearly $800 million in cumulative inflows, surpassing $1 billion in total net assets, showcasing the growing interest in diverse crypto assets [7] - BlackRock's spot bitcoin ETF has become a significant revenue driver for the firm, with allocations nearing $100 billion, highlighting the fee potential of such products [6]

Plus, Mackenzie Sagalas is [music] watching the volatility in crypto. Jar Jabosa is here with what is driving the moves in Uber and Lyft. Mac [music] to you first and crypto.>> Scott, Bitcoin and altcoins like XRP and Salana are in the red. Ether slipping below that 3K mark and Bitcoin trading under 89,000. It's about 30% off its October all-time high.Spot bitcoin ETFs still aren't offering much support. Institutional flows remain soft. And even with the Fed now cutting rates, risk appetite is cautious in t ...

Market Trends - Spot bitcoin ETFs experienced a $195 million outflow, marking the largest daily outflow in 2 weeks [1]

Core Viewpoint - The recent 35% price decline of bitcoin has led to increased skepticism and critical articles from major financial publications, particularly the Financial Times, which has historically been critical of the cryptocurrency sector [1][2]. Group 1: Bitcoin's Currency Viability - A Financial Times article argues that bitcoin has a 900% annualized inflation rate during its recent decline, asserting that its fixed supply prevents it from functioning effectively as a currency [3]. - The article contrasts bitcoin's supply inelasticity with central banks' ability to adjust money supply to manage inflation, highlighting a structural flaw in bitcoin's design [3]. Group 2: Impact on Companies - Another article critiques the business model of Strategy (MSTR), stating that the reliance on issuing shares or debt to purchase bitcoin is now unsustainable, especially with the introduction of spot bitcoin ETFs that have diminished the premium on MSTR stock [4]. - The report suggests that this situation could lead to a "death spiral" of forced bitcoin sales, although it notes that this perspective may not be entirely accurate [4]. Group 3: Broader Market Implications - The third article discusses how digital treasury companies, following similar strategies as Strategy, are now selling tokens to fund buybacks or service debt, with many trading below the market value of their crypto holdings [5]. - The Financial Times warns that most of these firms are likely to be wiped out, which could redirect capital back to bitcoin itself rather than to the management teams of these companies [5]. Group 4: Long-term Perspective - Despite the recent downturn, bitcoin remains up over 350% over the past five years, indicating a long-term growth trend [6]. - The timing of these critical articles coincides with the U.K. government's proposal for higher taxes, suggesting a broader economic context influencing the narrative around bitcoin and cryptocurrencies [6][7].

Spot bitcoin ETFs return to positive flows, BTC recovers above $92,000 https://t.co/RmRNCXgHfi ...

Spot bitcoin ETFs see $869 million in outflows, marking second-largest exit on record https://t.co/YuFR1DpRPU ...