The One Bitcoin ETF to Buy Now for $100 and Hold Forever: A Long-Term Play

In April 2025, the Bitcoin ETF market has matured into a fiercely competitive space, with over a dozen approved spot Bitcoin ETFs vying for investor dollars. For those looking to invest a small amount—say, $100—and hold for decades, the choice must balance low costs, institutional credibility, and resilience against market volatility. Among the options, one ETF stands out as the clear frontrunner: the Grayscale Bitcoin Mini Trust (BTC). Here’s why.

Why Bitcoin ETFs Matter in 2025

Bitcoin ETFs have democratized cryptocurrency investing, offering exposure to the world’s largest cryptocurrency without the hassle of self-custody or exchange risk. As of April 2025, spot Bitcoin ETFs directly hold Bitcoin, eliminating the complexities of futures-based strategies. This shift has attracted both retail and institutional investors, with over $10 billion flowing into these products in the first quarter of 2025 alone.

Yet not all Bitcoin ETFs are created equal. Fees, custodianship, and structural design can drastically impact long-term returns. For a $100 investment held for decades, even minor fee differences can compound into significant losses.

The Case for Grayscale Bitcoin Mini Trust (BTC)

Grayscale Bitcoin Mini Trust (BTC) is the cheapest Bitcoin ETF available today, with an expense ratio of just 0.15%. This low cost is critical for small, long-term holdings. To put this into perspective:

Over 30 years, a $100 investment in BTC would lose roughly $45 to fees, while a similar investment in VanEck’s HODL (0.20%) would lose $60—nearly 33% more. For someone starting with a small stake, every basis point saved matters.

Key Advantages of BTC:

1. Custodial Reliability: BTC uses Coinbase as its custodian, one of the most regulated and trusted digital asset platforms in the U.S. While some critics argue over-reliance on Coinbase poses systemic risk, its robust infrastructure and SEC compliance make it a safer bet than smaller custodians.
2. Institutional Grade: Grayscale, now part of the Galaxy Digital group, has a 14-year track record in digital assets, far outpacing newer entrants like Franklin Templeton or Fidelity.
3. Liquidity: Trading on major exchanges like the NYSE Arca, BTC offers seamless buy/sell execution, even for small investors.

The Custodian Risk Factor

Ten of the top 12 Bitcoin ETFs rely on Coinbase for custody. While this creates a concentration risk, it also reflects market consensus. Coinbase’s regulatory approvals and $100 million insurance coverage for client assets mitigate this risk. For now, the benefits of Coinbase’s scale outweigh the drawbacks for most investors.

Why Not the “Free” VanEck HODL?

VanEck’s Bitcoin Trust (HODL) currently waives its 0.20% fee until January 2026 or until it reaches $2.5 billion in assets—whichever comes first. While this makes it temporarily cheaper than its peers, the waiver is a promotional gimmick. Once lifted, HODL’s fee would rise to 0.20%, making BTC’s permanent 0.15% structure more attractive for a “hold forever” strategy.

Regulatory and Market Risks

The SEC’s stance under Chair Paul Atkins remains a wildcard. While Bitcoin ETFs are approved, Ethereum and other crypto ETFs linger in regulatory limbo. However, Bitcoin’s dominance (over 40% of the crypto market cap) and established ETF infrastructure make it the safest long-term bet.

The Bottom Line: A $100 Investment, Forever

For the patient investor, BTC’s ultra-low fees and institutional pedigree make it the optimal choice. Let’s crunch the numbers:

• $100 invested in BTC today at 0.15% annually:
• After 30 years, fees total ~$45.

• Assuming Bitcoin’s historical 50% annual volatility and a conservative 8% average annual return (factoring in bear markets), the investment could grow to $1,745—net of fees.

• Same investment in VanEck’s HODL (0.20%):

• Fees total ~$60.
• Net return: ~$1,610.

The difference may seem small, but over decades, it compounds. BTC’s 0.15% fee edge becomes a $135 advantage over HODL by youth’s end—a 9% boost in final value.

Final Recommendation

The Grayscale Bitcoin Mini Trust (BTC) is the best Bitcoin ETF to buy with $100 and hold forever. Its unmatched affordability, Coinbase’s custodial strength, and Grayscale’s institutional credibility provide a solid foundation for long-term growth. While risks like regulatory shifts or Bitcoin’s volatility persist, BTC’s cost structure ensures investors keep more of their gains—no matter how the market swings.

In a crowded ETF field, this is the one that checks all the boxes for a lifetime hold.