Why Grayscale’s Bitcoin Trust still dominates ETF revenue in 2025

Grayscale Bitcoin Trust (GBTC) generates more revenue than all spot Bitcoin ETFs combined, driven by its high fees and enduring investor loyalty despite outflows.

In the annals of financial history, few institutions have faced the tempests of competition with the steadfast resolve of Grayscale Bitcoin Trust (GBTC). Born in 2013 as a private placement, GBTC pioneered regulated Bitcoin investment, granting investors access to Bitcoin’s (BTC) meteoric rise without the perils of digital wallets or unregulated exchanges.

On Jan. 11, 2024, it transitioned into a spot Bitcoin ETF following a landmark victory against the SEC. This marked a pivotal moment with the SEC’s view that ETFs can offer lower expense ratios and enhanced tax efficiency compared to traditional funds. 

Even still, GBTC’s financial resilience shines, generating $268.5 million in annual revenue, surpassing the $211.8 million of all other US spot Bitcoin ETFs combined, despite losing over half its holdings with $18 billion in outflows since early 2024. This is no fleeting triumph of inertia. 

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