The iShares Bitcoin ETF from BlackRock has quickly become the largest spot Bitcoin ETF in the U.S., with nearly $100 billion in assets.
But is IBIT really the best Bitcoin ETF for investors in 2025, or is it simply the biggest?
IBIT controls nearly 60% of all spot Bitcoin ETF assets, but that’s not the whole story. As more spot Bitcoin ETFs from Fidelity, ARK, and Grayscale compete on fees and liquidity, the question of which one is the best choice for investors has never been more important.
Learn what questions to ask when choosing the best bitcoin ETF.Getty Images
IBIT is the spot Bitcoin ETF from BlackRock and iShares. According to the fund’s website:
“IBIT enables investors to get exposure to bitcoin through the convenience of an exchange-traded product, helping remove the operational, tax, and custody complexities of holding bitcoin directly.”
Launch Date: January 5, 2024
Expense Ratio: 0.25%
Custodian: Coinbase Prime
AUM: $97.1B (as of Oct. 9, 2025)
Simplicity & access: You can buy and own bitcoin through a broker, such as Fidelity or Vanguard, without needing a crypto wallet.
Security & custody: Coinbase is a well-known name in the crypto space. BlackRock oversees the trust.
Liquidity: Bitcoin ETFs trade on exchanges throughout the day, just like stocks.
These considerations, however, exist across all spot bitcoin ETFs. Figuring out which is the best bitcoin ETF could come down to just a couple of small details.
There are more than 10 spot bitcoin ETFs from which investors can choose. Determining which is the best lies in answering a few important questions:
Which is the best bitcoin ETF for performance?
Which is the lowest-cost bitcoin ETF?
Which bitcoin ETF has the most liquidity?
Let’s consider the competition.
The Fidelity Bitcoin ETF is IBIT’s biggest competitor. It’s the second-largest bitcoin ETF with assets of $25 billion. Fidelity is one of the biggest and best-known names in the investment management industry. It’s clearly gained a lot of traction in the bitcoin ETF space.
GBTC was the first bitcoin fund, launched back in 2013 as a trust, not an ETF. Being the original bitcoin fund has helped it amass $20 billion in assets. It officially converted from a trust to an ETF when the other bitcoin ETFs launched in 2024.
Bitcoin is well-aligned thematically with ARK, which is known for investing in disruptive innovation. In an iShares vs. ARK battle, ARK probably has a more tech-savvy, high-conviction investor base, and ARKB’s $5 billion asset base makes it a legitimate competitor to IBIT.
More ETFs
Since all these bitcoin ETFs track the price of spot bitcoin, their compositions are essentially the same. The differentiator that helps determine the best bitcoin ETF comes down to fees.
Here are the expense ratios and trading spreads for the full 12 Bitcoin ETF list (as of Oct. 9, 2025):
The cheapest bitcoin ETF in 2025 is the Grayscale Bitcoin Mini ETF (BTC), which is essentially just a cheaper version of GBTC more geared toward retail investors. Most think it’s just IBIT vs. FBTC, but Grayscale is the one winning on fees.
When it comes to bitcoin ETF fees, most have an annual expense ratio of 0.20% to 0.25%. GBTC has decided to keep the fee from its pre-ETF days, but that creates a significant performance drag for investors.
The spread is the trading cost built into ETF transactions. In general, larger and more heavily traded ETFs have smaller spreads, and vice versa. Most of the bitcoin ETFs are heavily traded and, therefore, have small trading spreads.
The bottom line is that fees directly impact bitcoin ETF performance.
Since the composition of the spot bitcoin ETFs is essentially the same, the lowest cost usually wins. Lower fees equal better shareholder returns, and that’s exactly what we’ve seen in the following bitcoin ETF performance chart.
With the lowest fees overall, BTC is among the best-performing bitcoin ETFs. HODL and EZBC have had better returns historically, but they’ve also waived their fees in the past, helping to skew their returns higher.
GBTC and its unusually large expense ratio have, not surprisingly, produced the worst returns. That makes GBTC the worst bitcoin ETF of the bunch.
IBIT is one of 12 spot bitcoin ETFs currently available to investors.
iShares’ biggest competitors are Fidelity, Grayscale and ARK.
Determining the best bitcoin ETF comes down to fees and expenses.
Given that all bitcoin ETFs invest in the same thing, low fees usually win.
The iShares Bitcoin ETF is the largest, but the Grayscale Bitcoin Mini ETF is the best.
BTC has the lowest expense ratio, and trading fees are minimal. In a category where every crypto ETF is essentially the same, the small details really matter.
With Bitcoin ETFs, the differentiator is fees. Right now, that makes BTC the best of the bunch.
Related: Why the Schwab Dividend ETF (SCHD) Is losing its edge to Vanguard
