Lowest Fee Crypto ETFs: Cheapest Bitcoin & Ethereum ETFs in 2025
Find the lowest fee Bitcoin and Ethereum ETFs in Canada and the US. Compare MERs and discover which crypto ETFs offer the best value for long-term investors.
Why Fees Matter for Crypto ETFs
Crypto ETF fees compound over time, eating into your returns. A 0.5% difference in MER can cost thousands of dollars over a decade. Here’s our guide to the lowest-fee options in 2025.
Lowest Fee Bitcoin ETFs
Canada - Bitcoin
| Rank | ETF | Ticker | MER | Custodian |
|---|---|---|---|---|
| 1 | Fidelity Advantage Bitcoin ETF | FBTC | 0.39% | Fidelity Digital Assets |
| 2 | CI Galaxy Bitcoin ETF | BTCX-B | 0.40% | Galaxy Digital |
| 3 | Evolve Bitcoin ETF | EBIT | 0.75% | Gemini |
| 4 | 3iQ CoinShares Bitcoin ETF | BTCQ | 1.00% | Gemini |
| 5 | Purpose Bitcoin ETF | BTCC-B | 1.00% | Gemini |
Winner: FBTC (0.39%) - Fidelity’s Bitcoin ETF offers the lowest ongoing cost for Canadian investors.
US - Bitcoin
| Rank | ETF | Ticker | Expense Ratio | Custodian |
|---|---|---|---|---|
| 1 | Grayscale Bitcoin Mini Trust | BTC | 0.15% | Coinbase |
| 2 | Franklin Bitcoin ETF | EZBC | 0.19% | Coinbase |
| 3 | Bitwise Bitcoin ETF | BITB | 0.20% | BitGo |
| 4 | VanEck Bitcoin Trust | HODL | 0.20% | Gemini |
| 5 | ARK 21Shares Bitcoin ETF | ARKB | 0.21% | Coinbase |
| 6 | iShares Bitcoin Trust | IBIT | 0.25% | Coinbase |
| 7 | Fidelity Wise Origin Bitcoin Fund | FBTC | 0.25% | Fidelity |
Winner: Grayscale Bitcoin Mini (BTC) at 0.15% - But note that IBIT has far more liquidity.
Lowest Fee Ethereum ETFs
Canada - Ethereum
| Rank | ETF | Ticker | MER | Custodian |
|---|---|---|---|---|
| 1 | CI Galaxy Ethereum ETF | ETHX-B | 0.40% | Galaxy Digital |
| 2 | Evolve Ether ETF | ETHR | 0.75% | Gemini |
| 3 | Purpose Ether ETF | ETHH-B | 1.00% | Gemini |
| 4 | 3iQ Ether ETF | ETHQ-B | 1.00% | Gemini |
Winner: ETHX-B (0.40%) - CI Galaxy’s Ethereum ETF offers the lowest fee.
US - Ethereum
| Rank | ETF | Ticker | Expense Ratio | Custodian |
|---|---|---|---|---|
| 1 | Grayscale Ethereum Mini Trust | ETH | 0.15% | Coinbase |
| 2 | Franklin Ethereum ETF | EZET | 0.19% | Coinbase |
| 3 | VanEck Ethereum ETF | ETHV | 0.20% | Gemini |
| 4 | Bitwise Ethereum ETF | ETHW | 0.20% | BitGo |
| 5 | iShares Ethereum Trust | ETHA | 0.25% | Coinbase |
Winner: Grayscale Ethereum Mini (ETH) at 0.15%
Cost Comparison: Lowest vs Highest Fee
Here’s the real dollar impact of fees on a $50,000 investment over different time periods (assuming 12% annual returns):
| Fee | 5 Years | 10 Years | 20 Years |
|---|---|---|---|
| 0.15% (Grayscale Mini) | $87,000 | $152,000 | $464,000 |
| 0.25% (iShares) | $86,500 | $149,000 | $448,000 |
| 0.40% (FBTC/BTCX-B) | $85,700 | $145,000 | $426,000 |
| 1.00% (Purpose) | $82,800 | $134,000 | $370,000 |
| 1.50% (GBTC) | $80,600 | $126,000 | $330,000 |
20-year difference between 0.15% and 1.50%: $134,000 on a $50,000 investment!
Should Canadians Buy US ETFs for Lower Fees?
US Bitcoin ETFs have lower fees (0.15-0.25%) compared to Canadian options (0.39-1.00%). However, Canadians face hidden costs:
Currency Conversion Costs
| Scenario | Cost |
|---|---|
| Convert CAD to USD at bank | 2.0-2.5% each way |
| Convert via Norbert’s Gambit | 0.2-0.5% |
| Spread on USD-CAD trades | Variable |
Example: Converting $50,000 CAD to USD costs:
- Bank rate: ~$1,250 (one way)
- Norbert’s Gambit: ~$150 (one way)
Break-Even Analysis
When is it worth buying US ETFs despite conversion costs?
| Investment Size | Holding Period | Worth Converting? |
|---|---|---|
| $10,000 | 5 years | No |
| $25,000 | 5 years | Maybe (if using Norbert’s Gambit) |
| $50,000+ | 10+ years | Yes (with Norbert’s Gambit) |
For most Canadians: Canadian ETFs (FBTC at 0.39%) are simpler and nearly as cost-effective after accounting for currency conversion.
Our Low-Fee Recommendations
For Canadian Investors (TFSA/RRSP)
| Asset | Recommended | Ticker | MER |
|---|---|---|---|
| Bitcoin | Fidelity Advantage Bitcoin ETF | FBTC | 0.39% |
| Ethereum | CI Galaxy Ethereum ETF | ETHX-B | 0.40% |
For US Investors or Canadians with USD Accounts
| Asset | Best Value | Best Liquidity |
|---|---|---|
| Bitcoin | EZBC (0.19%) | IBIT (0.25%) |
| Ethereum | EZET (0.19%) | ETHA (0.25%) |
For European Investors
| Asset | Lowest Fee | Ticker |
|---|---|---|
| Bitcoin | WisdomTree Physical Bitcoin | BTCW (0.35%) |
| Bitcoin | CoinShares Physical Bitcoin | BITC (0.98%) |
When Lowest Fee Isn’t Best
Sometimes paying slightly more makes sense:
1. Liquidity Matters
Higher volume ETFs have:
- Tighter bid-ask spreads
- Easier large orders
- Less slippage
Example: IBIT (0.25%) has 50x the volume of EZBC (0.19%). For large trades, the better execution may offset the fee difference.
2. Custodian Quality
All major ETFs use qualified custodians, but you might prefer:
- Fidelity’s in-house custody (FBTC)
- Coinbase for largest scale
- Specific custodian preferences
3. Fund Size / Stability
Larger funds are less likely to close and have economies of scale:
| ETF | AUM |
|---|---|
| IBIT | $50B+ |
| FBTC (US) | $15B+ |
| BTCC | $2B+ |
| FBTC (CA) | $1.2B+ |
4. Tax Efficiency
In registered accounts (TFSA/RRSP), fees matter most. In taxable accounts, other factors like distributions and turnover also matter.
Combining Low-Fee ETFs: Sample Portfolios
100% Bitcoin (Lowest Cost)
| Account | ETF | Allocation |
|---|---|---|
| TFSA | FBTC | 100% |
Cost: 0.39% MER
80/20 Bitcoin/Ethereum (Low Cost)
| Account | ETF | Allocation |
|---|---|---|
| TFSA | FBTC | 80% |
| TFSA | ETHX-B | 20% |
Blended Cost: 0.39% MER
US Account - Ultra Low Cost
| ETF | Allocation |
|---|---|
| Grayscale Mini BTC | 70% |
| Grayscale Mini ETH | 30% |
Blended Cost: 0.15% MER
Fee Trends: Where Are Costs Heading?
Since US spot ETF approval in January 2024, fees have been dropping:
| Period | Typical Bitcoin ETF Fee |
|---|---|
| 2021 (Canada) | 1.00% |
| 2023 (Canada) | 0.75-1.00% |
| 2024 (US launch) | 0.20-0.25% |
| 2024 (Competition) | 0.15-0.20% |
Prediction: Canadian ETF fees will likely drop to 0.25-0.35% range as competition increases.
Practical Tips for Minimizing Costs
1. Use Commission-Free Brokers
| Broker | ETF Trading Cost |
|---|---|
| Wealthsimple Trade | Free |
| Questrade | Free to buy, $5 to sell |
| Interactive Brokers | ~$1 |
2. Avoid Frequent Trading
Each trade incurs bid-ask spread costs. Buy and hold minimizes these.
3. Dollar-Cost Average
Invest regularly regardless of price. Most brokers allow automatic purchases.
4. Use TFSA First
Tax-free gains outweigh small fee differences. A 0.39% MER in a TFSA beats 0.19% MER in a taxable account.
5. Don’t Over-Optimize
The difference between 0.39% and 0.40% MER is $5/year per $50,000 invested. Don’t stress over tiny differences.
Summary: Lowest Fee Picks
| Category | ETF | MER | Why |
|---|---|---|---|
| Canadian Bitcoin | FBTC | 0.39% | Lowest fee, Fidelity reputation |
| Canadian Ethereum | ETHX-B | 0.40% | Lowest fee for ETH |
| US Bitcoin (value) | EZBC | 0.19% | Lowest major ETF |
| US Bitcoin (liquidity) | IBIT | 0.25% | Highest volume |
| US Ethereum | EZET/ETHA | 0.19-0.25% | Low fee options |
Bottom line: For Canadian investors using TFSA/RRSP, FBTC (0.39%) for Bitcoin and ETHX-B (0.40%) for Ethereum offer excellent value. The fee difference vs US ETFs is minimal after currency conversion costs.
Focus on consistent investing in low-fee funds rather than chasing the absolute lowest expense ratio.
Disclaimer: This article is for educational purposes only and should not be considered financial or investment advice. Always do your own research and consult with a qualified financial advisor before making investment decisions.