Morgan Stanley Picks Galaxy to Stake Ethereum and Solana ETP Assets
Morgan Stanley has chosen Galaxy as a validator for its new Ethereum (MSSE) and Solana (MSOL) ETPs, which will stake part of their holdings. Galaxy, one of three validators, will help manage staking rewards for shareholders. Galaxy reported $2.8B in staked assets in Q2 2026. The products aim to track ETH and SOL performance while adding staking yield.
How this was made

The 30-second read
Why it matters
The move could enhance yield but introduces new risk factors tied to validator performance.
Market read
First disclosure of validator partnership for Morgan Stanley's crypto trusts, relevant for traders of MSSE and MSOL.
What to watch
Potential validator downtime, protocol penalties, and regulatory scrutiny on staking mechanisms.
Background
Morgan Stanley expands its crypto trust offerings by incorporating active staking via Galaxy.
Ticker impact
Morgan Stanley Ethereum Trust (MSSE) added Galaxy as an approved validator for staking its holdings.
Potential modest upside if staking rewards exceed expectations.
Staking rewards are new revenue stream but depend on validator uptime.
Morgan Stanley Solana Trust (MSOL) added Galaxy as an approved validator for staking its holdings.
Potential modest upside if staking rewards exceed expectations.
Staking rewards are new revenue stream but depend on validator uptime.
Market effects
Highlights growing operational complexity in crypto ETFs, may spur similar products.
U.S. crypto asset managers gain credibility, could attract more institutional capital.
Sets precedent for validator selection in global crypto fund structures.
Counterpoint
Staking adds operational risk that could outweigh yield benefits, leading to underperformance.
Key entities
- Asset ManagerMorgan Stanley Investment Management
Issuer of the MSSE and MSOL trusts.
- Validator ProviderGalaxy
Selected to stake assets for the trusts.



