VanEck Bitcoin ETF (NYSEMKT:HODL) and CoinShares Bitcoin Mining ETF(NASDAQ:WGMI) each faucet into Bitcoin’s progress, however HODL affords direct publicity to the cryptocurrency whereas WGMI targets the broader Bitcoin mining ecosystem, with notable variations in price, danger profile, and diversification.
Each funds enchantment to buyers within the Bitcoin area, however their approaches diverge: HODL is a single-asset fund bodily backed by Bitcoin, aiming to reflect its value, whereas WGMI holds a basket of corporations producing income from Bitcoin mining or associated companies. This evaluation compares their construction, efficiency, price, and danger to assist make clear which can match totally different danger appetites or funding targets.
Metric
HODL
WGMI
Issuer
VanEck
CoinShares
Expense ratio
0.20%
0.75%
1-yr return (as of 2026-01-09)
(15.1%)
84.0%
Beta
N/A
6.01
AUM
$1.4 billion
$355.7 million
Beta measures value volatility relative to the S&P 500; beta is calculated from five-year weekly returns. The 1-yr return represents complete return over the trailing 12 months.
WGMI expenses the next price than HODL, making the latter extra inexpensive for long-term holders. Yield information should not obtainable for both fund, so payout isn’t a differentiator on this comparability.
WGMI focuses on corporations on the intersection of economic companies and expertise, with 81% of property in financials, 18% in tech, and 1% in utilities. Its portfolio holds 24 names, led by IREN (NASDAQ:IREN), Cipher Mining(NASDAQ:CIFR), and Hut 8(NASDAQ:HUT) and the fund has a 3.9-year monitor file. It doesn’t make investments straight in Bitcoin, however as an alternative within the infrastructure and repair suppliers that assist the mining trade.
HODL, in contrast, is a pure-play car holding solely Bitcoin, with no sector diversification or publicity to working corporations. This makes it extremely delicate to Bitcoin’s value actions, with a sector breakdown not reported and 100% of property allotted to Bitcoin. Neither ETF options leverage, derivatives, or different structural quirks.
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Cryptocurrency ETFs like these are comparatively new funding automobiles, and include excessive volatility that buyers want to know earlier than shopping for. In contrast to conventional ETFs, crypto investments can expertise dramatic value swings tied to Bitcoin’s actions, and Bitcoin mining shares like these held in WGMI typically amplify these swings even additional.
WGMI invests in corporations that mine Bitcoin and has a beta hovering round 6, which implies it is six occasions extra unstable than the market. This ETF soared 84% over the previous yr, dramatically outpacing HODL because of its Bitcoin mining publicity. Mining corporations do not simply monitor Bitcoin’s value; when Bitcoin rises, their income can multiply quicker since they’re producing it. Plus, many high miners diversified into synthetic intelligence companies in 2025, creating further income streams that boosted their inventory costs even when Bitcoin struggled.
As its identify signifies, HODL merely holds Bitcoin and tracks its value, providing $1.4 billion in property with a 0.20% expense ratio. Whereas extra simple, HODL fell 15% over the previous yr as Bitcoin declined.
Danger-tolerant buyers looking for amplified returns may take into account WGMI, however simply concentrate on its excessive volatility and operational dangers. Conservative buyers wanting pure Bitcoin publicity with out leverage ought to select the pure-play HODL, understanding that each investments carry vital danger and neither ensures returns on this nascent, unstable market.
ETF (Alternate-traded fund): A fund holding a basket of property, buying and selling on an trade like a inventory. Expense ratio: Annual fund price, expressed as a proportion of property, overlaying administration and working prices. AUM (Property below administration): Whole market worth of all property at the moment managed by a fund or funding agency. Bodily backed: Fund construction the place the ETF really holds the underlying asset, not simply derivatives or futures contracts. Beta: Measure of an funding’s volatility relative to a benchmark index, sometimes the S&P 500. Max drawdown: Largest peak-to-trough decline in an funding’s worth over a specified interval. Whole return: Total funding achieve or loss, together with value modifications plus any earnings or distributions. Single-asset fund: An ETF or fund that invests in just one underlying asset or safety. Diversification: Spreading investments throughout a number of property to cut back the influence of any single holding’s efficiency. Leverage: Use of borrowed cash or monetary devices to amplify potential returns, which additionally will increase danger. Derivatives: Monetary contracts whose worth is predicated on an underlying asset, index, or fee. Monitor file: Historic efficiency interval exhibiting how a fund or technique has carried out over time.
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