Gyroscopic Investing

IBIT is the most liquid

i think for a general investor, IBIT is easiest and safest.

I don't think crypto exchanges like coinbase are particularly safe. I cold wallets are a good problem holding the seed keys.

The issue is even bank safety deposit boxes in the US. I saw in the news that people have lost items in them, and they aren't insured.


Until they come up with a inexpensive biometric vault. that one can trust just use ETF.

frugal wrote: ↑Sat Jun 28, 2025 5:36 pm Hello, everyone

I’m currently looking into ways to invest in Bitcoin through ETFs, and I’m mostly interested in spot Bitcoin ETFs.

These ETFs directly hold Bitcoin and aim to follow its price as closely as possible. Some examples I’ve found are:
• IBIT – iShares Bitcoin Trust
• FBTC – Fidelity Wise Origin Bitcoin Fund
• ARKB – ARK 21Shares Bitcoin ETF

Since these are physically backed, they seem simpler and more transparent than other options like futures or crypto company stocks.

I’d like to hear your thoughts:
• Are you using any of these spot Bitcoin ETFs?
• How has your experience been so far?
• Any risks or practical points I should be aware of, especially for investors based in Europe?

Thanks in advance for any insights you can share.

var wrote: ↑Wed Jul 09, 2025 11:24 pm IBIT is the most liquid

i think for a general investor, IBIT is easiest and safest.

I don't think crypto exchanges like coinbase are particularly safe. I cold wallets are a good problem holding the seed keys.

The issue is even bank safety deposit boxes in the US. I saw in the news that people have lost items in them, and they aren't insured.


Until they come up with a inexpensive biometric vault. that one can trust just use ETF.

frugal wrote: ↑Sat Jun 28, 2025 5:36 pm Hello, everyone

I’m currently looking into ways to invest in Bitcoin through ETFs, and I’m mostly interested in spot Bitcoin ETFs.

These ETFs directly hold Bitcoin and aim to follow its price as closely as possible. Some examples I’ve found are:
• IBIT – iShares Bitcoin Trust
• FBTC – Fidelity Wise Origin Bitcoin Fund
• ARKB – ARK 21Shares Bitcoin ETF

Since these are physically backed, they seem simpler and more transparent than other options like futures or crypto company stocks.

I’d like to hear your thoughts:
• Are you using any of these spot Bitcoin ETFs?
• How has your experience been so far?
• Any risks or practical points I should be aware of, especially for investors based in Europe?

Thanks in advance for any insights you can share.

Hi @var,

I fully agree with your points — especially regarding IBIT being the most liquid spot Bitcoin ETF available right now. Liquidity really matters for tight spreads and better trade execution.

For a general investor, especially those following something like the Permanent Portfolio, IBIT is probably the easiest and safest way to get Bitcoin exposure without the hassles and risks of self-custody or using crypto exchanges.

Security Concerns
I share your concerns about crypto exchanges like Coinbase. It’s important to differentiate between:

Coinbase Exchange (the retail platform, with usual risks)

Coinbase Custody Trust (regulated, institutional-grade custodian used by IBIT and others)

IBIT uses the latter, meaning the Bitcoin is held in cold storage, under regulatory oversight, with insurance and audits. It’s far safer than holding crypto directly on an exchange or mishandling private keys in cold wallets — which, as you say, are only safe if you’re confident managing the seed keys correctly.

And yes, bank safety deposit boxes have their own issues — lack of insurance and possible loss — so your point is well taken.

Fees and Costs
Regarding costs:

IBIT (BlackRock/iShares):

Expense ratio of 0.25%, currently waived down to 0.12% for the first $5 billion or 12 months

FBTC (Fidelity):

0.25%, waived to 0.0% for the first $1 billion or 6 months

ARKB (ARK 21Shares):

0.21%, temporarily waived to 0.0%

These fees are very competitive, especially compared to European alternatives like BTCetc or 21Shares, which often charge near or above 1%.

Notes for European Investors
IBIT and similar U.S. ETFs are not UCITS-compliant, so many European brokers won’t offer them to retail clients.

Accessing them via international brokers (like Interactive Brokers) is possible but be aware of:

Complex tax reporting

Currency risk (USD exposure)

Possible PFIC tax implications in some EU countries

Conclusion
For most general investors, especially those wanting a simple, safe way to hold BTC exposure, IBIT is a strong choice. It avoids the pitfalls of self-custody and the risks of exchange wallets.

Until secure, affordable, biometric vaults become widespread, spot Bitcoin ETFs remain the most practical solution.

Thanks for sharing your thoughts! Would be great to hear from other European investors on how they navigate these ETFs or find affordable UCITS-compliant alternatives.

All the best!