When comparing ETFs and Bitcoin (BTC) for investment, both have distinct characteristics. ETFs, which stand for Exchange-Traded Funds, are investment funds traded on stock exchanges, typically tracking an index, commodity, bonds, or a basket of assets. They offer diversification by holding a variety of assets within a single fund, reducing risk compared to investing in individual stocks.
On the other hand, Bitcoin is a digital currency that operates independently of a central bank. It's known for its volatility and potential for high returns but also comes with higher risk due to its price fluctuations.
