Racheal Peachman
Have you been struggling to decide on the best crypto ETFs to buy in 2025, or are you confused by the hordes of cryptocurrencies? For example, high volume and rapid price fluctuations can jar new traders and even experts who know nothing about what to do. Tracking individual assets is complicated, so finding risk/reward in this fast-moving environment is hard.
Fortunately, crypto exchange-traded funds (ETFs) are a sensible remedy. These professionally managed fund portfolios bundle several crypto assets to offer a spread, lower-risk way to get involved in the market.
You may be new to crypto or looking to make your own investment, but these best crypto ETFs to buy in 2025 will allow you to enjoy the promise of digital assets without the stress of having to gamble in the market alone.
Crypto ETFs, or cryptocurrency exchange-traded funds, are financial products that track the performance of cryptocurrencies or companies involved in the crypto and blockchain space. They expose investors to digital assets without directly purchasing, storing, and managing cryptocurrencies.
The best crypto ETFs provide convenient exposure to the cryptocurrency market, avoiding the complexity of creating digital wallets or private keys. Your security concerns are also handled because you don’t deal with theft- or loss-prone cryptocurrency wallets.
Another attractive aspect of crypto ETFs is that they are traded on traditional stock exchanges with higher liquidity. This means you can purchase and sell shares during standard trading hours. As blockchain technology and digital currencies become widely adopted, ETFs will be crucial in building a modern investment portfolio.
1. ProShares Bitcoin Strategy Exchange-Traded Fund (BITO)
2. Grayscale Future of Finance ETF (GFOF)
3. Bitwise 10 Crypto Index Fund (BITW)
4. VanEck Digital Transformation ETF (DAPP)
5. Global X Blockchain & Bitcoin Strategy ETF (BITS)
Investors get flooded every day with many crypto ETFs, making it difficult for you to know which one to choose. So that you know which crypto ETFs to choose, here are some of the factors to consider:
Market Position: The first ETF for a sector will always own most of the total assets. Make sure that the EFT you picked is original and not some copy-paste.
Trader Activity: Liquidity has the highest trading volumes. The ETF is also simple to buy and sell without dramatic price movements, which makes the prices competitive and lowers the transaction fee to open and close positions.
Tracking Bug: Some ETFs do not track their own assets as closely as necessary. The smaller the tracking error, the closer an ETF gets to the crypto assets it tracks.
Index/Asset Basis: A great ETF will perform well if the coins or indexes it’s based on are decent and long-term, so you should choose an ETF built upon an extensive, broadly tracked index.
Minimum Asset Levels: ETFs have minimum asset limits of approximately $10 million. Less sophisticated investors will trade below this level, causing wide spreads and poor liquidity.
So, let’s get into the details of these best crypto ETFs for 2025.
Best For: Investors seeking regulated Bitcoin exposure
Since BITO was the first Bitcoin ETF to be approved in the United States, it is a true pioneer in its field. Usually, it tracks future contracts for Bitcoin instead of directly owning Bitcoin, lowering risks related to spot trading. BITO is for cautious investors who want access to Bitcoin’s best performance while reducing some volatility.
Since you can buy Bitcoin via a liquid, transparent, and tax-advantaged ETF market, it becomes a far more desirable investment for those looking to avoid the frustrations of ownership (key management) and security.
Best For: Anyone curious about a blend of crypto innovation and fintech.
GFOF focuses on companies transforming the financial ecosystem with blockchain and digital technologies. It also includes leading firms like PayPal and Coinbase to provide diversified exposure to crypto-growth. Through GFOF you can invest in digital asset infrastructure, financial foundations, and technology solutions—all through one fund.
Best For: Broad exposure to top cryptocurrencies.
BITW is the best crypto ETF that tracks the performance of the top 10 cryptocurrencies by market capitalization. It invests in cryptocurrencies such as Ethereum and Bitcoin and popular coins such as Solana and Cardano, making it a fluid choice for investors looking to diversify their crypto exposure.
BITW is actively managed, meaning a team decides what to buy and sell. That extra management, in turn, comes with a steep overhead cost. The price can increase beyond your expectations as it is not listed on an ordinary stock exchange.
Best For: Investors focused on emerging blockchain technology
The VanEck Digital Transformation ETF (DAPP) is a passively managed fund that started trading in April 2021. It follows the MVIS Global Digital Assets Equity Index, which tracks stocks of companies heavily involved in cryptocurrency and other blockchain technology.
DAPP gives investors focused exposure to the digital asset industry and provides information on the performance of companies leading this technological revolution.
Best For: A moderate take on crypto and blockchain.
The Global X Blockchain & Bitcoin Strategy ETF (BITS) was launched in 2021 and has a total expense ratio of 0.65%. Like most other crypto ETFs, it is an actively managed fund designed to provide broad exposure to the long-term opportunities offered by blockchain and digital assets.
The fund mainly takes long positions in U.S.-listed Bitcoin futures contracts while investing directly and indirectly in companies poised to benefit from the increasing adoption of blockchain technology. BIT does not invest in Bitcoin but provides exposure to blockchain businesses through other ETFs, like its sister, the Global X Blockchain ETF.
A crypto ETF can be considered a basket of cryptocurrencies that allows you to sell or buy the entire basket instead of trading each fund. Similar to how traditional ETFs hold stock, crypto ETFs track the performance of several cryptocurrencies or blockchain-related companies. This provides diversified exposure without direct cryptocurrency ownership.
Crypto ETFs lower the risk level relative to investing directly in crypto. However, they are not without market risk and regulatory risk.
Crypto ETFs provide an indirect investment through managed funds, thus requiring no wallets or private keys.
The emergence of crypto-based ETFs has prompted more investors to enter the cryptocurrency market. These ETFs integrate traditional financial instruments with digital asset possibilities to create a safer and more convenient alternative for beginners and experienced investors. Since price fluctuations are common in crypto trading, it is essential to research the type of crypto ETF best suited to your financial goals.
But don’t let the size of the ETF crypto space intimidate you; you can use crypto ETF AI tools such as Intellectia AI to tap into their expertise and use timely insights and data to identify the right investment option for your needs.
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