Best Bitcoin ETFs in 2024

Best Bitcoin ETFs review

ARK 21Shares Bitcoin ETF (ARKB)

ARK 21Shares Bitcoin ETF (ARKB) is an offering from Cathie Wood's ARK Invest in collaboration with digital assets specialist 21Shares. Known for its actively managed thematic funds like the ARK Innovation ETF (ARKK), ARKB comes with an expense ratio of 0.21%. Initially, the fund had a total fee waiver until it either reached $1 billion in Assets Under Management (AUM) or until July 10, whichever came first. However, it surpassed the AUM milestone and now imposes a modest expense ratio.

Since its inception, ARKB has seen significant growth, accumulating around $2.7 billion in AUM, showcasing its prominence among boutique fund providers. It's listed on the CBOE BZX exchange, having decent liquidity since its launch, with a 30-day median bid-ask spread of 0.06% and approximately 3 million shares traded daily.

As of the Year-To-Date (YTD) performance, ARKB has delivered a commendable return of +37.08%. The Net Asset Value (NAV) per unit stands at $62.85.

ARK 21Shares Bitcoin ETF (ARKB)

VanEck Bitcoin Trust (HODL)

VanEck Bitcoin Trust (HODL) takes its name from the famous cryptocurrency term "HODL," originating from a forum post in 2013. The term represents a commitment to holding onto assets despite market volatility. VanEck's adoption of this term for its Bitcoin ETF symbolizes a nod to the community's ethos.

HODL offers a 0.2% expense ratio waiver on its first $1.5 billion in assets until the end of March 2025, making it an attractive option for investors. Currently, it has accumulated approximately $576 million in Assets Under Management (AUM). VanEck plans to introduce options for this ETF in the future.

As of April 17, 2024, the Net Asset Value (NAV) per unit stands at $69.11. Since its inception, HODL has demonstrated strong performance, with a return of 38.23%.

VanEck Bitcoin Trust (HODL)

WisdomTree Bitcoin Trust (BTCW)

WisdomTree, with a substantial global Assets Under Management (AUM) of approximately $106 billion, holds a significant portion of its assets, around $77 billion, in U.S.-listed funds. Among its popular ETFs are the WisdomTree Floating Rate Treasury Fund (USFR) and the WisdomTree U.S. Quality Dividend Growth Fund (DGRW).

BTCW, WisdomTree's Bitcoin Fund, aims to track the price of bitcoin while considering expenses and liabilities. It achieves this by directly holding bitcoin. The fund calculates its share value daily using an independently derived value based on major bitcoin spot exchanges' executed trade flow.

Since its inception on January 17, BTCW has accumulated roughly $81.17 million in AUM. Year-To-Date (YTD) returns stand at an impressive 54.30%. The Net Asset Value (NAV) per unit is $64.86, with a Gross Expense Ratio of 0.25%.

WisdomTree Bitcoin Trust (BTCW)

Valkyrie Bitcoin Fund (BRRR)

BRRR, a spot Bitcoin ETF, joins the trend of embracing cryptocurrency pop culture in its naming convention, possibly hinting at the sound of money being printed by central banks, a remark often made by Bitcoin enthusiasts.

Sponsored by Valkyrie Digital Assets LLC and CoinShares Co., both dedicated digital assets firms, BRRR's shares trade on Nasdaq. The fund securely stores its underlying Bitcoin in cold storage, with Coinbase Global Inc. (COIN) serving as the custodian.

Investors in BRRR can anticipate a 0.25% expense ratio once the fee waiver expires on April 11. As of the latest data, BRRR has a Net Asset Value (NAV) of $17.30 and has accumulated around $484 million in Assets Under Management (AUM).

Valkyrie Bitcoin Fund (BRRR)

Franklin Bitcoin ETF (EZBC)

Franklin Templeton promotes "simplified access" as a key feature of its spot Bitcoin ETF, emphasizing its convenience and cost-effectiveness, aiming to make entering the crypto market easier for investors. The ETF's name, "EZBC," reflects this ease, sounding like "easy Bitcoin."

EZBC holds over 4,800 Bitcoin in custody with Coinbase Global, audited by PricewaterhouseCoopers (PwC). Its benchmark is the CME CF Bitcoin Reference Rate – New York Variant. The fund imposes a 0.19% expense ratio, with a waiver reducing it to 0% for the first $10 billion in Assets Under Management (AUM) until Aug. 2. Currently, EZBC's net assets stand at around $301.17 million as of April 17, 2024.

With a Net Asset Value (NAV) of $35.40, EZBC has delivered a Year-To-Date (YTD) return of 51.61%.

Franklin Bitcoin ETF (EZBC)

Grayscale Bitcoin Trust (Re-file) (GBTC)

Grayscale's Bitcoin fund traces its origins back to 2013 when it was established as an investment trust. Before 2024, it functioned as a trust, with units traded over the counter, offering indirect exposure to Bitcoin through broker-dealer networks rather than through a centralized exchange. However, in early January 2024, Grayscale's application to the SEC was approved, leading to the conversion of the Bitcoin trust into an ETF, providing investors with more direct access to Bitcoin.

The Grayscale Bitcoin Trust ETF imposes a substantial 1.5% annual fee, equivalent to $15 for every $1,000 invested annually. Although this fee was reduced from 2% in January 2024, it remains higher compared to its newer ETF counterparts. Consequently, the fund experienced significant outflows of investor funds following the approval and commencement of trading of the new ETFs.

As of the latest data, the Year-To-Date (YTD) return stands at 61.41%. The Net Asset Value (NAV) is $54.31, with Assets Under Management (AUM) totaling $23.75 billion.

Grayscale Bitcoin Trust (Re-file) (GBTC)

Bitwise Bitcoin ETF Trust (BITB)

BITB gathered attention in January by opting to disclose the public Bitcoin address of its holdings, ensuring a high level of transparency regarding the ETF's reserves. This move allows potential investors to verify the ETF's holdings and even contribute Bitcoin if they desire. Investors seeking the expertise of a specialized digital asset manager over a larger fund provider like BlackRock might find BITB appealing. Managed by Bitwise, a company exclusively focused on cryptocurrency, this ETF has amassed approximately $2.1 billion in Assets Under Management (AUM).

The ETF imposes a modest expense ratio of 0.2%. As of the latest data, the Net Asset Value (NAV) stands at $33.26, with a Year-To-Date (YTD) return of 54.31%.

Bitwise Bitcoin ETF Trust (BITB)

iShares Bitcoin Trust (IBIT)

The iShares Bitcoin Trust, offered by investment giant BlackRock, is one of the first Bitcoin spot price ETFs approved by the SEC. Managed by iShares, a trusted ETF provider with a long history, the Bitcoin Trust employs a passive investment strategy. Coinbase Custody, a service provided by Coinbase, holds the Bitcoin comprising the ETF's portfolio.

Investors may find IBIT appealing due to its affordability, with a management fee initially set at 0.25%, but it had initially reduced to 0.12% if assets under management do not exceed $5 billion within the first 12 months from inception (which occurred on Jan. 5, 2024). Currently, IBIT has a Net Asset Value (NAV) of $34.79 and has accumulated $17.74 billion in Assets Under Management (AUM).

iShares Bitcoin Trust (IBIT)

Comparing the Best Bitcoin ETFs: key metrics and features

Note: In fact, Spot Bitcoin ETFs track the price of the token using the same scheme, although the funds themselves trade at different prices. Since Bitcoin ETFs offer you to invest in crypto in the same way, the main factor in choosing them is the expense ratio - the percentage of your investment that the funds charge as a commission.

What is a Bitcoin ETF?

A Bitcoin ETF, or exchange-traded fund, is a collection of Bitcoin-related assets available on traditional exchanges through brokerages. These ETFs aim to provide exposure to cryptocurrencies for retail and other investors without requiring direct ownership of the assets.

Should you invest in Bitcoin ETFs?

Top 3 Brokers to Buy ETFs Online

1

9.4/10

Go to broker

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Minimum deposit:

From $100

Review

The eToro broker was founded in 2007. The company promotes itself as a social trading platform working with traders from over 140 countries. The broker has several divisions operating under different jurisdictions and licensed by different regulators. For example, eToro (Europe) is licensed by the Cypriot regulator CySEC (109/10) and eToro (UK) is licensed by the British regulator FCA (583263). The broker also has a representative office in Australia and the USA.

Pros/Cons

•High level of reliability ensured by the licenses of respected regulatory authorities and participation in the compensation funds.

•Wide selection of assets quoted at stock exchanges in the UK, U.S., Australia and Asia.

•An opportunity to combine active trading with social trading and passive investing.

•Zero-fee trading of a number of stocks.

•Access to ready-made diversified asset portfolios with various risk levels.

•Provision of leverage, educational materials on various markets and user-friendly trading platforms that can run on any device.

•Zero fees for portfolio management, depositing funds and account maintenance.

•High minimum deposit for users of a number of countries.

•No live chat on the website for quick connection to customer support.

Study Review

2

9.2/10

Go to broker

Your capital is at risk.
Via eOption's secure website.

Minimum deposit:

$1

Review

The eOption broker (eoption.com) is an American stockbroker headquartered in Glenview, Illinois. It has been operating since 2007 and is a member of FINRA (CRD#: 7297/SEC#: 8-21765) and SIPC. It specializes in options trading and also acts as an intermediary in trades involving the popular securities classes. The company offers low trading commissions, super-fast execution of orders, and modern platforms with an advanced set of analytical tools. In 2020-2021, eOption was recognized as the best options broker by several resources such as Investopedia, The Tokenist, Benzinga, Investormint, and NerdWallet.

Pros/Cons

•Low commissions for options trading — $0.10 per contract plus $1.99 per trade.

•No minimum deposit requirements for cash trading accounts opened by US residents.

•FINRA membership and the protection of clients’ funds are available through Securities Investor Protection Corporation (SIPC).

•Access to professional trading platforms such as DAS and Sterling Trader Pro are developed by third-party software developers for the proprietary eOption terminal.

•An affiliate program with high rewards.

•Compensation for commissions for funds or assets from other brokerage firms and institutions transfer.

•Prompt support by phone and online chat in the trading platform during company business hours.

•The narrow range of choice of investment solutions to generate passive income.

•You cannot trade Pink Sheet and Bulletin Board stocks.

•There is no online chat on the company's website.

Study Review

3

9.1/10

Study Review

Minimum deposit:

$250

Review

The Ally Bank broker is part of Ally Financial Inc., which is an American holding company. The original company was created in 1919 by the General Motors automobile corporation to conduct activities with its auto parts suppliers and associated automobile dealerships. In 2014, Ally started offering banking products, and since 2017, it has also offered brokerage services. Currently, it operates solely as an online bank and brokerage firm and has no physical branches. It does, however, offer favorable terms of cooperation at consistently competitive rates with professional round-the-clock support. The company's services are used by more than 8.1 million customers globally.

Pros/Cons

•It has official licenses for banking, dealer, and brokerage activities from reputable US regulators.

•A wide range of assets is available such as currency pairs, metals, securities, and options.

•There is an opportunity to invest in diversified portfolios for passive profit.

•The company works only with US tax-paying residents.

•On the broker's website, there is no training on trading in various financial markets, nor is there a Forex glossary of terms.

•There are high commissions for withdrawing funds and the company does not compensate customers in any way.

•Only registered users can ask a question in the online chat.

•There is a time-consuming procedure for opening an account, which in some cases takes up to two weeks.

Study Review

How to buy bitcoin ETFs?

To purchase Bitcoin ETFs, follow these simple steps:

Open a brokerage account

Begin by selecting a brokerage firm that offers Bitcoin ETFs and open an online brokerage account with them.

Fund the account

Transfer funds into your brokerage account from another brokerage platform or a regular bank account. Ensure that you have sufficient funds to cover the cost of your desired ETF shares, as well as any additional fees or commissions.

Research available Bitcoin ETFs

Explore the variety of Bitcoin ETFs available, considering factors such as fees and your investment objectives.

Place an order

Once you've chosen the Bitcoin ETF(s) you wish to invest in, place a buy order for the desired number of shares. You can choose between a market order, which executes immediately at the current market price, or a limit order, which allows you to specify the maximum price you're willing to pay.

Monitor your investments regularly

Keep track of your investments by monitoring their performance regularly. Stay updated on Bitcoin's price movements and related news, as these factors can influence the volatility of your Bitcoin ETF investment.