Comment
Author: Admin | 2025-04-27
Bitcoin Trust uses a fee waiver to lower the initial cost of investing and attract more investors. For the first 12 months of trading or the first $5 billion in fund assets (whichever comes first), the annual fee will be just 0.12%. After that the fee will jump to 0.25%, more or less in line with many competitors.Perhaps because iShares is already a well-established and trusted brand, IBIT was one of the most heavily traded bitcoin ETFs out of the gate. That’s an auspicious sign, since the ETF business tends to be winner-take-all, with entrenched funds difficult to dethrone. “In terms of liquidity, it seems like iShares and Fidelity really took the bull by the horns so far,” Armour says.Fidelity Wise Origin Bitcoin Fund (FBTC)Annual fee: 0.25% (after waiver expires)Average daily trading volume: 10 million sharesAssets invested: $7 billionLike iShares, Fidelity Investments is also a trusted name. Millions of Americans who know little about investing have Fidelity accounts because of its place as the largest 401(k) plan provider. As with BlackRock’s iShares, that means Fidelity stands to lose big if its bitcoin fund somehow fails to perform the way investors expect it to.Also like the iShares’ ETF, the fee on the Fidelity Wise Origin Bitcoin ETF will be 0.25%. However, Fidelity is waiving the fee to invest until Aug. 1, 2024. While that might seem like a good deal for initial investors, it’s important to remember the fee waiver is temporary.As far as liquidity, the ETF’s trading kicked off its first day of trading with more than $700 million worth of shares changing hands, second only to iShares’ ETF.Bitwise Bitcoin ETF (BITB)Annual fee: 0.2% (after waiver expires)Average daily trading volume: 3 million sharesAssets invested: $1.7 billionWhile iShares and Fidelity are mainstream brand names, Bitwise may be familiar to more experienced crypto investors. The asset manager offers a range of products that aim to repackage crypto for mainstream investors, including Bitcoin futures ETFs.What’s more, Bitwise says it will donate 10% of BITB’s profits to three nonprofit organizations that fund Bitcoin open-source development: Brink, OpenSats and the Human Rights Foundation’s Bitcoin Development Fund. If you’re a crypto believer, Bitwise might “have the ethos that you’re looking for,” Armour says.The Bitwise Bitcoin ETF is also a fierce competitor when it comes to cost. It’s waiving the fee for the first six months of trading or the first $1 billion in fund assets, whichever
Add Comment