Bitcoin Mining ETF from CoinShares Posts the Poorest Returns of the Year

CoinShares’ Bitcoin Mining ETF Struggles as 2025’s Worst Performer

CoinShares’ Valkyrie Bitcoin Mining ETF (WGMI) has taken a beating in 2025, earning the unfortunate title of the year’s worst-performing exchange-traded fund. The ETF is down a staggering 43% year-to-date, according to Bloomberg ETF analyst Eric Balchunas.

WGMI invests in companies heavily involved in bitcoin mining or in providing key infrastructure for the mining sector. Its top holding, IREN, which makes up 15% of the portfolio, has dropped more than 40% this year. Core Scientific (CORZ), with a 14% allocation, has declined by 48%, while Cipher Mining (CIFR), at 9.6%, has tumbled 52%. Even powerhouse chipmaker NVIDIA (NVDA), representing 5% of the fund, is down over 20%.

The fund’s focus on mining firms has left it vulnerable to the harsh economics of 2025. Bitcoin’s network hash rate has surged to near all-time highs at 832 EH/s, increasing competition and operational costs for miners. At the same time, low transaction fees and sustained mining difficulty have squeezed profitability across the board.

WGMI holds 21 positions and manages about $147.2 million in assets, but this year has been brutal for bitcoin miners—especially when compared to other sectors. Gold-focused ETFs, for instance, are shining. The Equity World Basic Materials DAXglobal Gold Miners ETF has gained 38% year-to-date, placing it among 2025’s top performers.

The combination of rising mining difficulty, weak fee incentives, and increasing macroeconomic pressure continues to weigh on the mining sector—dragging WGMI down with it.