IBIT and ETHA Charge the Same. The Similarities End There.

The iShares Bitcoin Trust ETF (NASDAQ:IBIT) and the iShares Ethereum Trust ETF (NASDAQ:ETHA) both track single cryptocurrencies and charge the same expenses, but ETHA has seen stronger recent returns and a smaller asset base—while also exposing investors to greater drawdowns.

Both IBIT and ETHA are single-asset exchange-traded funds (ETFs) from iShares, designed to give investors straightforward exposure to Bitcoin or Ether, respectively. This comparison looks at how these two crypto-focused ETFs stack up on cost, performance, risk, and portfolio characteristics to help investors decide which may fit their strategy.

Snapshot (cost & size)

Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months.

Both funds are equally priced at 0.25%, making cost a non-factor in the decision; neither fund currently offers a dividend yield.

Performance & risk comparison

What's inside

ETHA is a pure-play Ether ETF, holding only Ether and cash equivalents, with 100% of assets allocated to Ether. With just one holding and a fund age of 1.8 years, it offers direct tracking of Ether’s price movements and has no notable structural quirks or index tracking features.

IBIT, in contrast, holds only Bitcoin and cash, representing a single-asset approach as well. It is much larger, with $63.7 billion in assets under management, and similarly lacks any unusual features or sector tilts. The key difference is the underlying cryptocurrency exposure: Bitcoin for IBIT, Ether for ETHA.

For more guidance on ETF investing, check out the full guide at this link.

What this means for investors

These two ETFs come from the same issuer, have the same 0.25% expense ratio and basic structure. Beyond that, IBIT and ETHA are very different trades right now. Over the trailing year, IBIT is down 14.1% while ETHA is up 40.7% — a gap that reflects how differently Bitcoin and Ether have moved, not any difference in fund quality or construction. ETHA's max drawdown over the past year hit -61.66%, compared to -49.36% for IBIT — better recent return, rougher ride.

ETHA launched in mid-2024, which means it doesn't yet have a full year of data in some performance tools and lacks the track record that longer-tenured funds carry. That's not a reason to avoid it, but it's worth knowing you're working with a shorter history when sizing up the risk. IBIT, at $63.7 billion in AUM versus ETHA's $7.6 billion, has also attracted significantly more institutional buy-in — another data point, not a verdict.

The more fundamental question is why an investor would buy either ETF instead of just holding the crypto directly. The main reasons are practical: these funds sit inside a regular brokerage account, which means no crypto wallet, no private key management, and no exchange risk. They're also eligible for tax-advantaged accounts like IRAs in a way that direct crypto holdings generally aren't. The downside is that you give up 24/7 trading, you can't move the underlying asset, and the 0.25% annual fee compounds over time — something a self-custodied wallet doesn't charge.

Seena Hassouna has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends iShares Bitcoin Trust. The Motley Fool has a disclosure policy.