Fidelity Wise Origin Bitcoin Fund (FBTC)
ETF / Indirect ExposureFidelity Wise Origin Bitcoin Fund (FBTC) is unique because Fidelity self-custodies the underlying Bitcoin through Fidelity Digital Assets. Eliminates dependence on third-party custodians. Second-largest Bitcoin ETF by AUM.
Quick Verdict
With a Custody Score of 7.9/10, Fidelity Wise Origin Bitcoin Fund (FBTC) is ranked #1 of 2 among etf / indirect exposure providers. Its strongest category is Regulatory and its weakest is Counterparty Diversification.
Analysis
Score Breakdown
The Custody Score is a weighted average across 8 criteria, each rated 1-10.
| Criterion | Score | Weight | Weighted |
|---|---|---|---|
| Security | 8.5 | 20% | 1.70 |
| Insurance | 9 | 15% | 1.35 |
| Regulatory | 10 | 15% | 1.50 |
| Fee Transparency | 9 | 10% | 0.90 |
| Track Record | 7 | 15% | 1.05 |
| Withdrawal Flexibility | 3 | 10% | 0.30 |
| Reporting & Audit | 9.5 | 10% | 0.95 |
| Counterparty Diversification | 2.5 | 5% | 0.13 |
| Total | 100% | 7.9 |
Key Features
- ✓Self-custodied — no third-party custodian
- ✓Fidelity — $14T+ AUM parent
- ✓Second-largest Bitcoin ETF
- ✓Up to $1B insurance on custody
- ✓Available in Fidelity retirement accounts
- ✓0.25% expense ratio
Fee Breakdown
| Setup Fee | Standard brokerage commission |
| Annual Custody Fee | 0.25% expense ratio |
| Transaction Fee | Brokerage commission (often $0) |
| Withdrawal Fee | Sell shares like any ETF |
| Notes | 0.25% expense ratio. Self-custodied by Fidelity. |
Security Details
Key Management
Self-custodied by Fidelity Digital Assets
Cold Storage
Vast majority cold
SOC Compliance
Fidelity SOC 2 Type 2
Penetration Testing
Yes
Incident History: No incidents
Insurance Coverage
Coverage
Standard ETF/brokerage protections. SIPC for brokerage accounts.
Carrier
SIPC + Fidelity Digital Assets insurance
Details
Self-custodied by Fidelity Digital Assets with up to $1B insurance.
Regulatory Status
Licenses
- SEC registered
- Listed on CBOE
SEC-regulated ETF. Fidelity is one of the world's largest financial institutions ($14T+ AUM).
Pros & Cons
Pros
- Self-custodied — only major ETF not using third-party
- Fidelity — $14T+ AUM parent company
- Up to $1B insurance on underlying Bitcoin
- Available in Fidelity retirement accounts
- Eliminates third-party custodian risk
Cons
- No direct Bitcoin ownership
- Cannot withdraw actual Bitcoin
- 0.25% annual fee reduces returns
- Newer ETF product (2024)
- Dependent on single custodian (Fidelity)
How Fidelity Wise Origin Bitcoin Fund (FBTC) Compares
Top etf / indirect exposure providers ranked by Custody Score.
| Provider | Custody Score | Compare |
|---|---|---|
| iShares Bitcoin Trust (IBIT) | 7.6 | Compare → |