2024-05-07 03:15:53 ET
Summary
- GBTC has a high expense ratio of 1.50%, which is more than five times higher than that of other Bitcoin ETFs.
- The high expense ratio will likely lead to underperformance compared to other ETFs or Bitcoin itself.
- GBTC's justification for its high fees is unconvincing, and there are better alternatives available. However, if Grayscale were to lower its fees to align with its competitors, the ETF could.
- My recommendation is to hold GBTC for a few more months if you already have it in your portfolio, to see if Grayscale will reduce its fees. Otherwise, it's best to avoid this ETF.
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For further details see:
GBTC: Expecting Underperformance Compared To Bitcoin