Best Bitcoin and Crypto ETFs to Buy Now

After a major regulatory win, Bitcoin and other digital currencies are booming. These bitcoin and crypto ETFs will give you exposure to the space.

digital rendition of cryptocurrency coins stacked on top of semiconductor
(Image credit: Getty Images)

The rapid rise and fall of cryptocurrency prices over the past three years have undoubtedly hurt the industry's growth – and sparked volatility across many bitcoin and crypto ETFs. 

The good news is that cryptocurrencies are on the rise again and entered the new year with strong momentum. The two largest cryptocurrencies by assets – Bitcoin (BTC/USD) and Ethereum (ETH/USD) – are up significantly in the last 12 months to trade at new highs, with much less volatility to show for their gains. That's excellent news if you're a longtime investor.

Bitcoin and crypto ETFs could get an AI boost 

Helping the entire digital assets arena recently is the global push into artificial intelligence (AI) by companies of all sizes. AI is the secular trend that could be the crypto and blockchain industry's savior. 

As one example, Vancouver-based crypto miner Hive Blockchain Technologies (HIVE) announced that it was changing its name to Hive Digital Technologies to better reflect the use of its high-performance data centers to fuel the processing power needed for generative AI tools. 

Moves like these are part of the Web3 maturing process that's taking place. That's a positive for future cryptocurrency investments, including the best Bitcoin and crypto ETFs that provide investors exposure to the space. 

More notably is the recent decision by the Securities and Exchange Commission's (SEC) to approve spot bitcoin ETFs. These are exchange-traded funds that are tied to the digital assets spot price – or where it is trading at right now so that it can be bought for immediate delivery. This differs from futures prices, which are where the cryptocurrency is expected to be trading in the future. Futures traders buy contracts that lock in this price for a delivery of the asset at a later date.

The SEC had previously rejected approving a spot bitcoin ETF, citing risks such as market manipulation and fraud.

It should go without saying that Bitcoin and other digital assets remain highly speculative and should be approached with extreme caution. 

However, those interested in more risk-averse options might consider these best bitcoin and crypto ETFs. Their asset levels might be lower than at the height of the crypto surge in late 2021, but they're returning due to promising new technologies such as AI. 

Disclaimer

Data is as of January 10, unless otherwise indicated.

Will Ashworth
Contributing Writer, Kiplinger.com

Will has written professionally for investment and finance publications in both the U.S. and Canada since 2004. A native of Toronto, Canada, his sole objective is to help people become better and more informed investors. Fascinated by how companies make money, he's a keen student of business history. Married and now living in Halifax, Nova Scotia, he's also got an interest in equity and debt crowdfunding.