The rise of Bitcoin exchange-traded funds (ETFs) has transformed how investors gain exposure to cryptocurrency. With the U.S. Securities and Exchange Commission (SEC) approving spot Bitcoin ETFs in January 2024, traditional investors now have a regulated, accessible path into the digital asset space—without managing private keys or navigating crypto exchanges.
This guide breaks down the top Bitcoin ETFs currently available, comparing their expense ratios, performance, assets under management (AUM), and key features to help you make an informed investment decision.
What Is a Bitcoin ETF?
A Bitcoin ETF (exchange-traded fund) is a financial product that tracks the price of Bitcoin and trades on traditional stock exchanges like the NYSE or Nasdaq. Unlike buying Bitcoin directly, investors purchase shares of the ETF through a brokerage account, gaining exposure to Bitcoin’s price movements without owning the underlying asset.
There are two main types:
- Spot Bitcoin ETFs: Hold actual Bitcoin and aim to mirror its real-time market price.
- Futures-based Bitcoin ETFs: Track Bitcoin futures contracts rather than physical coins.
The first spot Bitcoin ETFs were approved in January 2024 after years of regulatory hesitation, marking a pivotal moment for crypto adoption in mainstream finance.
👉 Discover how spot Bitcoin ETFs offer secure, regulated access to crypto markets.
Why Invest in a Bitcoin ETF?
Bitcoin ETFs offer several advantages for both new and experienced investors:
✅ Pros
- Simplified Access: No need for crypto wallets, exchanges, or seed phrases.
- Regulatory Oversight: SEC-approved funds provide investor protections and transparency.
- Liquidity & Integration: Trade during market hours on familiar platforms with high liquidity.
- Security: Underlying Bitcoin is held by trusted custodians like Coinbase or BitGo.
- Tax Efficiency: Held within standard brokerage accounts, simplifying tax reporting.
❌ Cons
- No Direct Ownership: You don’t own actual Bitcoin—only shares in a fund.
- Management Fees: Expense ratios reduce long-term returns.
- Limited Trading Hours: Unlike 24/7 crypto markets, ETFs trade only when stock markets are open.
- Tracking Errors: Minor deviations from Bitcoin’s actual price may occur.
Top Bitcoin ETFs in 2025: In-Depth Review
ARK 21Shares Bitcoin ETF (ARKB)
Managed by Cathie Wood’s ARK Invest and digital asset firm 21Shares, ARKB stands out for its active management approach and strong brand recognition. With an expense ratio of 0.21%, it's slightly above the lowest-cost options but justified by its strategic oversight.
As of early 2025, ARKB holds approximately $2.7 billion in AUM**, demonstrating solid investor confidence. It trades on the CBOE BZX exchange with strong daily volume and a tight bid-ask spread of 0.06%. The fund’s year-to-date return sits at **+37.08%**, with a net asset value (NAV) per share of **$62.85.
VanEck Bitcoin Trust (HODL)
Named after the crypto community’s iconic “HODL” mantra, HODL reflects a long-term investment philosophy. VanEck offers one of the most competitive fee structures: a 0.20% expense ratio with a waiver extending through March 2025 on assets up to $1.5 billion.
Despite lower AUM ($576 million**), HODL has delivered strong performance, posting a YTD return of **38.23%**. Its NAV is **$69.11, making it one of the higher-priced Bitcoin ETFs. The fund is listed on CBOE and benefits from VanEck’s reputation in commodity and digital asset investing.
WisdomTree Bitcoin Trust (BTCW)
WisdomTree brings institutional credibility with over $100 billion in global AUM. BTCW directly holds Bitcoin and uses a transparent pricing mechanism based on major spot exchanges.
With a gross expense ratio of 0.25%, BTCW has achieved impressive returns—54.30% YTD—despite smaller scale ($81.17 million AUM**). Its NAV stands at **$64.86, appealing to investors seeking performance over size.
Valkyrie Bitcoin Fund (BRRR)
BRRR embraces crypto culture while delivering serious infrastructure. Backed by Valkyrie Digital Assets and CoinShares, it stores Bitcoin in cold storage with Coinbase Global as custodian.
The fund charges a 0.25% expense ratio after fee waivers expire and has amassed $484 million in AUM**. With a NAV of **$17.30, BRRR offers lower entry cost per share. While its name draws attention, its security practices earn trust.
Franklin Bitcoin ETF (EZBC)
Franklin Templeton’s EZBC emphasizes simplicity and low cost. The name “EZBC” hints at "easy Bitcoin," aligning with its mission to onboard traditional investors.
Holding over 4,800 BTC with Coinbase custody and audited by PwC, EZBC offers strong transparency. Its expense ratio is just 0.19%, with full fee waivers until August 2 for assets under $10 billion. As of April 2024, it had **$301 million AUM and a YTD return of 51.61%, with NAV at $35.40**.
Grayscale Bitcoin Trust (GBTC)
Once the dominant way to gain indirect exposure to Bitcoin, GBTC transitioned from a private trust to a spot ETF in January 2024. Now publicly traded, it boasts massive AUM of $23.75 billion, though it faced significant outflows post-transition due to higher fees.
Its 1.5% annual expense ratio is the highest among major spot ETFs—down from 2%, but still steep compared to competitors charging under 0.3%. However, its early mover advantage and brand recognition keep it relevant. GBTC posted a strong YTD return of 61.41%, with NAV at $54.31.
Bitwise Bitcoin ETF Trust (BITB)
BITB differentiates itself with radical transparency: it publicly discloses its Bitcoin wallet address, allowing anyone to verify holdings on-chain. Managed by Bitwise—a pure-play crypto asset manager—it appeals to technically minded investors.
With $2.1 billion AUM** and a modest **0.20% expense ratio**, BITB combines credibility and openness. Its YTD return is **54.31%**, and NAV is **$33.26.
iShares Bitcoin Trust (IBIT)
Launched by BlackRock—the world’s largest asset manager—IBIT quickly became a market leader. Its passive strategy mirrors Bitcoin’s price closely, with assets stored via Coinbase Custody.
IBIT offers competitive pricing: an initial fee of 0.12% (for assets under $5B), rising to 0.25%. It has grown rapidly to **$17.74 billion in AUM, second only to GBTC. With a NAV of $34.79**, IBIT balances affordability and scale.
Key Comparison: Leading Bitcoin ETFs
| ETF Name | Expense Ratio | NAV | AUM | YTD Return |
|---|---|---|---|---|
| ARKB | 0.21% | $62.85 | $2.7B | +37.08% |
| HODL | 0.20% | $69.11 | $576M | +38.23% |
| BTCW | 0.25% | $64.86 | $81M | +54.30% |
| BRRR | 0.25% | $17.30 | $484M | — |
| EZBC | 0.19% | $35.40 | $301M | +51.61% |
| GBTC | 1.50% | $54.31 | $23.75B | +61.41% |
| BITB | 0.20% | $33.26 | $2.1B | +54.31% |
| IBIT | 0.25% (promo rate 0.12%) | $34.79 | $17.74B | — |
Note: All funds track spot Bitcoin price; differences stem from fees, timing, and operational efficiency.
Frequently Asked Questions
What is the cheapest Bitcoin ETF?
The Franklin Bitcoin ETF (EZBC) currently has the lowest effective expense ratio at 0.19%, with full fee waivers until August 2 for assets under $10 billion.
Which Bitcoin ETF has the highest AUM?
Grayscale Bitcoin Trust (GBTC) leads with **$23.75 billion in AUM**, followed by iShares Bitcoin Trust (IBIT) at $17.74 billion.
Do Bitcoin ETFs hold real Bitcoin?
Yes, all approved spot Bitcoin ETFs hold actual Bitcoin in secure custody, typically with firms like Coinbase or BitGo.
Can I convert my ETF shares into physical Bitcoin?
No—ETF investors do not have redemption rights for physical Bitcoin. You only own shares in the fund.
Are Bitcoin ETFs safer than holding crypto directly?
For most investors, yes. ETFs offer regulatory oversight, professional custody, insurance, and eliminate risks like lost keys or exchange hacks.
Which broker should I use to buy Bitcoin ETFs?
Most major online brokers—such as Fidelity, Charles Schwab, E*Trade, and SoFi—offer access to all major Bitcoin ETFs.
👉 See how leading platforms integrate secure crypto access into traditional investing workflows.
How to Buy a Bitcoin ETF
- Open a brokerage account with a platform offering ETF trading.
- Fund your account via bank transfer or linked account.
- Research ETFs using metrics like fees, AUM, and performance.
- Place a trade using market or limit orders.
- Monitor regularly, adjusting based on market trends and goals.
Final Thoughts
Bitcoin ETFs represent a bridge between traditional finance and the digital asset revolution. They offer convenience, security, and regulatory legitimacy—ideal for investors who want exposure to Bitcoin without operational complexity.
While fees and lack of direct ownership remain drawbacks, the benefits often outweigh them for retail and institutional participants alike.
Whether you prioritize low costs (EZBC), transparency (BITB), scale (IBIT, GBTC), or performance (BTCW, GBTC), there's a suitable option for every strategy.
👉 Start exploring regulated crypto investment opportunities today—securely and seamlessly.