As we progress through 2025, the digital currency market continues its dynamic evolution, building upon Bitcoin's historic highs in late 2024. Canada has solidified its position as a global leader in digital asset investment, thanks to its progressive and investor-friendly regulatory framework.
Canadian investors now enjoy streamlined and secure access to digital assets through an expanding selection of Crypto Exchange-Traded Funds (ETFs) on major trading platforms. These ETFs provide a regulated, simplified way to gain exposure to cryptocurrencies without direct asset management or storage.
Below, we explore the top Canadian Crypto ETFs worth considering in 2025 as part of a diversified investment strategy.
What Is a Crypto ETF?
A Crypto ETF is an exchange-listed fund designed to track the performance of specific cryptocurrencies or a basket of digital assets. Unlike traditional ETFs (e.g., stock indices, bonds, or commodities), Crypto ETFs focus exclusively on the digital currency market.
Key characteristics of Crypto ETFs include:
- Professional Management: Crypto ETFs are traded and managed by expert teams, simplifying the investment process and enhancing security.
- Market Volatility: Cryptocurrencies are highly volatile, which can lead to significant price fluctuations—offering potential high returns but also elevated risk.
- Regulatory Compliance: Canada enforces strict anti-money laundering (AML) and counter-terrorism financing (CTF) regulations, ensuring Crypto ETFs adhere to legal standards.
Factors to Consider When Investing in Crypto ETFs
- Management Fees: Compare expense ratios across ETFs to minimize costs.
- Liquidity: Opt for ETFs with higher trading volumes to ensure smooth transactions.
- Tax Implications: Capital gains and dividends from Crypto ETFs may be taxable; consider tax-advantaged accounts.
- Risk Tolerance: Crypto investments carry high risk—assess your financial capacity before committing.
8 Top Canadian Crypto ETFs for 2025
Bitcoin (BTC) and Ethereum (ETH) dominate the cryptocurrency market, making their associated ETFs prime investment vehicles. Below, we highlight four Bitcoin ETFs and four Ethereum ETFs available in Canada.
4 Leading Canadian Bitcoin ETFs
1. Purpose Bitcoin ETF (BTCC.B)
- Currency Hedging: No
- Canada’s first approved Bitcoin ETF, BTCC.B holds physical BTC stored securely. Performance is affected by CAD/USD exchange rates.
2. CI Galaxy Bitcoin ETF (BTCX.B)
- Currency Hedging: No
- Managed by CI Global Asset Management and Galaxy Digital, this ETF stores BTC offline via cold wallets.
3. Purpose Bitcoin ETF (BTCC)
- Currency Hedging: Yes
- Hedged against CAD/USD fluctuations, BTCC offers stable Bitcoin exposure.
4. Fidelity Advantage Bitcoin ETF (FBTC)
- Currency Hedging: N/A
- Backed by Fidelity Investments, FBTC holds Bitcoin directly in secure storage.
4 Top Canadian Ethereum ETFs
1. CI Galaxy Ethereum ETF (ETHX.B)
- Currency Hedging: No
- Managed by CI Global and Galaxy Digital, ETHX.B stores ETH in cold wallets.
2. Purpose Ethereum ETF (ETHH.B)
- Currency Hedging: No
- The world’s first physically backed Ethereum ETF, ETHH.B uses cold storage for security.
3. Purpose Ethereum Staking ETF (ETHC.B)
- Currency Hedging: No
- Generates additional income through ETH staking while maintaining cold storage.
4. Purpose Ethereum ETF (ETHH)
- Currency Hedging: Yes
- Hedged against currency risks, ETHH provides stable Ethereum exposure.
How to Invest in Canadian Crypto ETFs
Platforms like Moomoo offer easy access to Crypto ETFs. Search for "Crypto ETF" within the app to explore tradable options.
👉 Start investing in Crypto ETFs today
Frequently Asked Questions (FAQs)
Q: Are Crypto ETFs safer than direct cryptocurrency investments?
A: Yes—Crypto ETFs eliminate the need for personal wallet management and benefit from institutional security measures.
Q: Do Crypto ETFs pay dividends?
A: Some do, particularly staking-based ETFs like ETHC.B, which generate passive income.
Q: How are Crypto ETFs taxed in Canada?
A: Capital gains from sales and dividends are taxable. Use registered accounts (e.g., TFSA) for tax efficiency.
Q: Can I trade Crypto ETFs outside Canada?
A: Many Canadian-listed Crypto ETFs are available globally, but check your local regulations.
Investing in Crypto ETFs requires careful consideration of fees, liquidity, and risk. By selecting the right ETFs, you can capitalize on cryptocurrency growth while mitigating volatility.