Top 8 Canadian Crypto ETFs to Watch 2025

As we progress through 2025, the cryptocurrency market continues its dynamic evolution, building upon the momentum of Bitcoin's record-breaking highs in late 2024. Canada, known for its progressive and investor-friendly regulatory environment, has solidified its position as a global leader in cryptocurrency investment.​

Canadian investors now have more streamlined and secure avenues to access the digital asset space, particularly through the expanding selection of cryptocurrency exchange-traded funds (ETFs) available on major trading platforms. These ETFs offer a simplified, regulated way to gain exposure to cryptocurrencies without the complexities of managing or storing the assets directly.​

Let's explore the top Canadian crypto ETFs to consider in 2025 as part of a well-diversified investment strategy.

What is a Crypto ETF?

A crypto ETF is a type of fund listed on a stock exchange, designed to track the performance of a specific cryptocurrency or a basket of cryptocurrencies. Unlike traditional ETFs (such as stock indices, bond indices, or commodity ETFs), crypto ETFs focus on the cryptocurrency market.

Additionally, investors should be aware that crypto ETFs have the following characteristics.

Professional management: Directly trading and managing cryptocurrencies can be challenging for investors, whereas crypto ETFs are traded and managed by professional teams. This ensures simplicity in the investment process and the security of assets for investors.

Market volatility: The cryptocurrency market is highly volatile, which can affect the price of crypto ETFs and potentially cause significant fluctuations in a short period of time. This brings potential for returns but also comes with high risk. Investors should manage risks properly and set stop-loss points.

Regulatory environment: The regulatory landscape for cryptocurrencies is continuously evolving and improving. In Canada, there is strict regulation regarding anti-money laundering (AML) and counter-terrorism financing (CTF) related to cryptocurrencies. Additionally, the legality and compliance of crypto ETFs are under stringent supervision. Investors who are aware of these regulatory requirements can make more informed judgments about the safety of their investments.

When selecting and investing in crypto ETFs, the following factors should be considered as they can impact an investor's returns.

Fund expenses: Different ETFs have varying management fees. Understanding the trading fees of the trading platform and choosing a platform with lower fees can help reduce investment costs.

Market liquidity: Choose ETFs with higher trading volumes and better liquidity to facilitate quick buying and selling when needed without significant price impact. Generally, the larger the market capitalization of an ETF, the better its liquidity.

Tax considerations: In Canada, investors in crypto ETFs may face certain tax obligations. For example, if you sell or exchange your holdings in crypto ETFs and realize a profit, these profits are treated as capital gains and are subject to capital gains tax. Furthermore, if crypto ETFs distribute dividends, this income also be included in your taxable income. Lastly, if you hold foreign crypto ETFs, you may be subject to foreign taxes and may need to claim foreign tax credits in Canada. Of course, Canadian investors can also use tax-advantaged accounts to avoid some taxes.

Risk considerations: Investing in crypto ETFs is a high-risk investment. Before investing, it is necessary to have a clear investment objective and assess your risk tolerance to ensure that the investment amount does not affect your daily life and financial security.

Top 8 Canadian Crypto ETFs to Watch in 2025

Bitcoin (BTC) and Ethereum (ETH) are the two most influential cryptocurrencies, being the first and second largest cryptocurrencies in the market, respectively. Crypto ETFs based on these two cryptocurrencies as underlying assets are representative, so this article has selected four Canadian Bitcoin ETFs and four Canadian Ethereum ETFs as of the data from October 18th for introduction, with the intention of providing a reference for investors.

4 Top Canadian Bitcoin ETFs

Purpose Bitcoin ETF (BTCC.B)

Currency Hedging：No

Purpose Bitcoin ETF is the first Bitcoin ETF approved in Canada, with a large market capitalization and strong liquidity. Additionally, the fund holds a significant amount of actual Bitcoin and stores it physically, ensuring that investors indirectly hold actual Bitcoin. BTCC.B represents the unhedged portion of the fund,this means that the performance of BTCC.B will be affected by the exchange rate between the Canadian dollar and the US dollar.

CI Galaxy Bitcoin ETF (BTCX.B)

Currency Hedging：No

The fund is managed by CI Global Asset Management, with Galaxy Digital also participating in the management. Galaxy Digital is a professional diversified investor management company with extensive experience in the field of digital asset management. The fund holds actual Bitcoin and stores all of it using a cold wallet.

Purpose Bitcoin ETF (BTCC)

Currency Hedging：Yes

Same as BTCC.B, this fund is also a component of the Purpose Bitcoin ETF. But unlike BTCC.B, this fund has currency hedging, which shields the fund's performance from the impact of the Canadian dollar's exchange rate against the US dollar.

Fidelity Advantage Bitcoin ETF (FBTC)

Currency Hedging： No information available

Fidelity Advantage Bitcoin ETF aims to provide investors with exposure to Bitcoin. The fund is managed by Fidelity Investments, one of the world's largest asset management companies, ensuring professional asset management services. Additionally, the fund directly holds Bitcoin and stores it securely within Fidelity.

4 Top Canadian Ethereum ETFs

CI Galaxy Ethereum ETF (ETHX.B)

Currency Hedging：No

The fund is co-managed by CI Global Asset Management and Galaxy Digital to provide professional asset management services. All funds are used to hold Ether and are stored through a cold wallet, offering investors direct exposure to Ethereum.

Purpose Ether ETF (ETHH.B)

Currency Hedging：No

The fund is managed by Purpose Investment and represents the unhedged portion of the Purpose Ether ETF, which is the world's first ETF to actually hold Ether. The fund uses a cold wallet for the storage of Ether, providing investors with direct investment opportunities in Ether.

Purpose Ether Staking Corp. ETF (ETHC.B)

Currency Hedging：No

Purpose Ether Staking Corp. ETF is also managed by Purpose Investment. This fund not only offers investment opportunities in Ethereum but also generates additional income through the staking of Ether. The held Ether is also stored using a cold wallet to ensure the security of the assets.

Purpose Ether ETF (ETHH)

Currency Hedging：Yes

Corresponding to ETHH.B, this is the hedged portion of the Purpose Ether ETF, allowing investors to gain exposure to Ether while avoiding the impact of exchange rate fluctuations on performance.

How to Find Canadian Crypto ETF on moomoo?

If you are a moomoo user, you can use moomoo to find the "Crypto ETF" section and easily select crypto ETFs available for trading in the Canadian market for investment. For the operation process, please refer to the figure below.

Also welcome to register on moomoo for smarter investing - Moomoo CA.