Bitcoin ETFs provide a way to invest in the largest cryptocurrency in the world without a crypto account or using a crypto exchange, and the ETFs can be purchased through a U.S. tax-advantaged accounts such as a IRA or Roth IRA. This allows you to either not pay taxes on your Bitcoin profits (Roth IRA) or defer the taxes you pay on any gains until you start withdrawing (IRA).

Best U.S. Bitcoin ETFs in 2025

Each of these U.S. ETFs owns bitcoins. The price of the ETF, multiplied by the units of the ETF that are available, reflects the value of the bitcoin held. When you buy the ETF, you are buying fractional ownership of those bitcoins.

Since each ETF is tracking Bitcoin, most should move in a similar fashion. Yet each charges a different yearly fee, called an expense ratio.

A higher expense ratio will result in lower returns for you, the investor, because more of the returns are taken by the ETF managers.

Therefore, the best Bitcoin ETF in the U.S. is the one with the lowest fees, generally.

All the ETFs on the list use “cold storage” for holding their bitcoins. Cold storage means the bitcoins are not accessible (to hackers) online. Hot storage, or a hot wallet, is when bitcoins are held in an account online. Having a crypto wallet is not required for owning Bitcoin ETFs, since the fund is using its own.

Since many of the U.S. Bitcoin ETFs are newer, some have temporarily agreed to waive some of the management fees associated with the fund. This is a temporary measure. To create this list we have looked at what fees will be after the fees are implemented (since that will be very shortly for most ETFs).

Here are the top Bitcoin ETFs in the U.S. with ticker symbols, ranked in order from best to worst based on a combination of fees and returns. Additional details are in the charts below.

1. VanEck Bitcoin Trust ETF (HODL)
2. Franklin Bitcoin ETF (EZBC)
3. Bitwise Bitcoin ETF (BITB)
4. ARK21Shares Bitcoin ETF (ARKB)
5. iShares Bitcoin Trust (IBIT)

Statistics below as of April 5, 2025.

All yearly returns were pulled from TradingView, so I could compare the exact same dates for each ETF. Other statistics are from the ETF’s website or documents.

Top Choice: VanEck Bitcoin Trust ETF (HODL)

You can stay updated on current statistics for the ETF on the VanEck Bitcoin Trust information page.

HODL was picked as the top choice because it has no expense ratio until the fund reaches $2.5 billion in assets under management or until January 10, 2026. When those occur, the 0.2% fee kicks in.

The 0.2% fee is just a tiny bit higher than the 2nd-ranked funded on the list, EZBC. Yet HODL volume is higher and has performed slightly better than EZBC since a management fee isn’t currently charged.

2nd Choice: Franklin Bitcoin ETF (EZBC)

Updated stats on the ETF can be found on the Franklin Templeton information page.

This was picked as the second-best U.S. Bitcoin ETF because it has the lowest expense ratio. Generally that translates into better investment performance since more money stays in the investor’s pocket.

One downside is that the daily volume isn’t that high. More than enough for an investor to buy some, but not enough for an active day trader.

3rd Choice: Bitwise Bitcoin ETF (BITB)

This Bitwise Bitcoin ETF was ranked third because it has the second lowest (non-promotional) expense ratio.

It is also one of the larger funds on the list in terms of assets under management and has higher daily average volume than some of the other top-ranked funds.

4th Choice: ARK21Shares Bitcoin ETF (ARKB)

The fee is just starting to creep up marginally on the ARK21 Bitcoin ETF, which is why it was ranked fourth. It has decent volume and billions under management.

5th Choice: iShares Bitcoin Trust (IBIT)

The iShares Bitcoin Trust is one of the most actively traded Bitcoin ETFs in the US. It has the highest daily average volume and assets under management of the funds on the list. Good for short-term trades, but longer-term investors will be paying a slightly higher fee for no reason. Hence its fifth-place rank.

Other U.S. Bitcoin ETF Choices

There are quite a few other Bitcoin ETFs in the US than those listed above. They are not included on the “Best of” mainly because of their higher fees. For this list, only the Bitcoin ETFs with the lowest fees, adequate volume, and competitive returns were included.

Buying Bitcoin in Your Roth IRA or IRA

The U.S. Bitcoin ETFs make it possible to own Bitcoin inside your IRA or Roth IRA.

An ETF is the only way to own Bitcoin in these types of accounts.

If you are most interested in never having to pay taxes on your gains, then consider buying a Bitcoin ETF in your Roth IRA. Gains are not taxed, even when you withdraw funds.

If you want a tax break now, contribute funds to your IRA which creates a tax deduction for this year for the amount contributed. Then use those funds, or a portion, to buy one of the best U.S. bitcoin ETFs. Your gains can accumulate in the IRA without paying taxes until you begin withdrawing funds.

Using a 401(k) is also a possibility, but crypto investments would need to be provided as an investment option. Many employer-sponsored plans don’t offer this choice.

U.S. Bitcoin ETFs as Part of an Overall Portfolio

Each person is different. Later in the article, I discuss how volatile Bitcoin can be. The rewards are potentially big, but so are the risks. Deciding how much bitcoin (ETF) you want to own in your portfolio requires some thinking and strategy.

A portfolio is typically composed of:

• Stocks (individual or ETF)
  • If you prefer more stability, you may want to consider stock index funds, which have increased on average 10% per year (based on S&P 500) over the last 100 years, or Top Buy and Hold Stocks with steady growth. The Nasdaq 100 index has returned 14% per year over the last 20 years.
• Bonds (Individual or ETF)

and sometimes:

• Commodities or metals (usually in the form of an ETF)
• Cryptocurrencies
• and other Alternative investments

Portfolio allocation is a complex topic and you can read about different portfolio compositions here.

In my long-term portfolio, most of my capital is in stock market index ETFs. I invest in several different ones that focus on different segments of the market. I lay out my favorite ETFs in the Passive ETF Investing eBook.

I then have some of my funds invested in international indices and some in cryptocurrency ETFs.

Each person needs to decide how much of their capital they want to invest in each.

The Risks of Bitcoin ETFs in the U.S.

Bitcoin is volatile. Expect to have 50% or greater drops every couple years. The future is uncertain, and a drop may eventually come when Bitcoin does not recover to the highs seen before the drop.

You are paying a management fee for something you can do yourself. If you open an account with a crypto exchange you can buy Bitcoin yourself. You can then store it on the exchange (hot wallet) or transfer it to a cold wallet (bought separately) offline. The flip side is that you can’t own physical Bitcoin in your IRA or Roth IRA, but you can own a Bitcoin ETF inside these tax-advantaged accounts.

You also can’t use your Bitcoin ETF to make purchases or payments, like you could with actual Bitcoin. That said, if you simply want to own Bitcoin for the potential long-term price appreciation, then that shouldn’t be a big deal.

There is a remote risk that the ETF could lose the Bitcoin or the hard wallets the Bitcoin is held on, or they could be hacked, or an employee could run off with the loot.

Bitcoin and cryptocurrencies are also in their infancy. Laws and regulations are being updated regularly in countries around the world. Those regulations may impact the price of Bitcoin, a regulation may ban it, or render it useless versus new technology or financial systems.

Bitcoin Historical Returns and Volatility

Bitcoin is the largest cryptocurrency in the world in terms of market capitalization, according to Coinmarketcap. Market capitalization is the price of the coin multiplied by the number of coins in circulation.

Bitcoin, unlike many other cryptocurrencies, Bitcoin has a finite supply. Only 21 million Bitcoins can be created. As of April 2025, there are 19.84 million in circulation.

Bitcoin is like a currency. It can be used to buy goods or services (assuming the provider accepts Bitcoin as payment). The Bitcoin is sent to the user’s digital address. Transactions, anywhere in the world, can typically be completed within minutes. 

Bitcoin is a preferred investment choice of many investors for a few reasons:

• It’s the largest in terms of market cap.
• It has a limited supply. If demand stays strong and supply is limited that may help fuel prices higher over the long run.
• It is the original cryptocurrency. It launched in 2009 and has stood the test of time…so far.

But investing in Bitcoin may not be for everyone. It is volatile. Very volatile. That can mean both big gains and big drops in price. 

Since 2015, this chart shows the rally and drop percentages that are over 30%. 

On average, there is a 50% drop (or greater) every 1-2 years. If you want a full breakdown of how Bitcoin moves, including how much it typically rallies and pulls back, and other statistics, see Statistics on How Bitcoin Moves.

But there are also rallies in between the drops. As of April 5, 2025, the latest rally is 607% after hitting a high of $109,358 in January following the last big decline (78%) into the late 2022 low.

If you like big movement, you may also be interested in the Best Performing Stocks & Best Performing ETFs.

Trades that last a few weeks to a few months more your style? My Complete Method Stock Swing Trading Course guides you through a complete method for swing trading explosive stocks.

By Cory Mitchell, CMT

Disclaimer: Nothing in this article is personal investment advice, or advice to buy or sell anything. Trading is risky and can result in substantial losses, even more than deposited if using leverage.