BlackRock, Other Potential Bitcoin ETF Providers Reveal Fees

BlackRock, Fidelity, and other applicants to list a spot bitcoin exchange-traded fund (ETF) in the U.S. have revealed their fees as the crypto industry awaits the final approval from the Securities and Exchange Commission.

BlackRock said in its final S-1 filing that its fee will start at 20 basis points for the first 12 months until the fund reaches $5 billion and then settles at 30 bps. The figure is lower than that predicted by Bloomberg Intelligence’s ETF analyst James Seyffart, who said last week he expected BlackRock and Fidelity to charge 0.39%. Fidelity has revealed its fee is in line with Seyffart’s prediction.

With as many as 13 ETFs possibly set to list in the U.S. in the coming days, providers are seeking ways of differentiating themselves from their rivals and setting enticing fees is one of their main tools in doing so.

As previously reported, Invesco and Galaxy are waiving their fee entirely for the first six months until its fund reaches $5 billion in assets. Thereafter, a fee of 0.59% will apply.

Cathie Wood’s investment firm ARK and its custodian 21Shares announced a fee of 0.25%, the same as VanEck. Valkyrie set a fee of 0.8% for its ETF.

Bitcoin ticked toward $45,000 on the news, up around 1.8% in the last 24 hours. At press time, BTC was trading at $44,865.

UPDATE (Jan. 08, 12:25 UTC): Adds additional detail and context on the providers’ fees and updates BTC price.