3 Smart Ways to Play the Crypto Boom-No Coins Needed

Tariffs have dominated financial headlines for so long that many investors have missed a rally brewing in the cryptocurrency markets. Bitcoin recently topped $110,000 for the first time, and regulatory tailwinds have enthusiasts thinking about another crypto summer in 2025.

Despite the potential upside, many traditional investors remain anxious about the risks or are unable to own digital assets directly. Can you still reap the benefits of a Bitcoin rally without opening a crypto wallet?

Thanks to Wall Street’s embrace of digital assets, investors have more indirect options than ever. In this article, we’ll look at three investments that can help you get in on the action without needing to hold any crypto. 

Investing in Crypto Carries Unique Risks

While traditional markets are no stranger to manipulation or scams, cryptocurrency markets are like the Wild West of finance. Earlier this year, crypto hackers completed the biggest heist yet, plundering more than $1.5 billion of Ethereum tokens from the ByBit exchange. 

Scammers flock to cryptocurrency because the assets function like digital bearer bonds. If your tokens are stolen or you’re tricked into sending them to a malicious actor, you can do little to return the lost value. If your stockbroker goes bankrupt, the SIPC protects your holdings.

If your credit card is stolen, the bank will flag the fraudulent charges immediately. But if your crypto wallet is drained? Often, your only recourse is to scream into a pillow and count your investment as a total loss.

While the majority of crypto investors only lose money due to poor decision-making, threats of theft and fraud keep many traditional investors away.

However, Wall Street isn’t about letting a highly volatile asset go to waste, so many companies have adopted crypto by owning it themselves or providing a platform for traders to buy and sell it. 

3 Plays for the New Bitcoin Bull Market

Cryptocurrencies will always be highly volatile assets with the potential to nauseate risk-averse investors. These three investments offer exposure to Bitcoin through your brokerage account, but they’re also highly volatile and require a proper risk assessment before being added to your portfolio.

Robinhood: Reaping the Benefits of Retail Volatility

Robinhood Markets Inc. (NASDAQ: HOOD) doesn’t actually own any Bitcoin. The Bitcoin it controls belongs to its customers, who hold approximately $38 billion worth of it and other digital assets on the platform. And one thing Robinhood customers love to do with their crypto is trade it, and when customers trade crypto, Robinhood rakes in fees.

In its Q1 2025 earnings report, the company reported crypto trading revenue of $252 million, representing a 100% year-over-year (YOY) increase, which significantly outpaced the revenue growth from options (54%) and equities (44%). Notional crypto trading volume increased 28% YOY to $46 billion.

Robinhood shares have gained more than 25% over the last three months, with robust revenue growth supported by strong technicals. The stock price is trading well above its 50-day and 200-day moving averages, and recently topped $66 for the first time since the week of its IPO back in 2021. If bullish Bitcoin trends continue, HOOD should make new all-time highs this summer.

Tesla: The Best Bitcoin Allocator

Elon Musk’s foray into government is over, and he returns to Tesla Inc. (NASDAQ: TSLA) with a battered brand. Despite EV adoption continuing to rise, Tesla sales have plummeted in Europe and China and competitors like BYD are rapidly capturing market share.

However, with Musk out of Washington and Bitcoin hitting new highs, Tesla might be ready to break out of its funk.

Despite holding far fewer tokens than other crypto-conscious firms like Strategy Inc. (NASDAQ: MSTR), Tesla’s Bitcoin purchases have been far more lucrative. Tesla has spent $330 million to purchase 11,509 Bitcoins into its treasury, and today those holdings have a value north of $1.2 billion, a gain of more than 275%.

For comparison, MSTR has spent $40 billion on Bitcoin, and its treasury sits at just under $61 billion, as Michael Saylor spends a lot of time buying at all-time highs. Bullish technicals bolster Tesla’s efficient Bitcoin strategy; the stock is finally trading back above its 50- and 200-day moving averages for the first time since the Trump administration began.

iShares Bitcoin Trust: Efficient Bitcoin Exposure

The iShares Bitcoin Trust ETF (NASDAQ: IBIT) wasn’t the first Bitcoin ETF on a major US stock exchange, but it has quickly grown to become the largest and most influential in the burgeoning sector.

In less than 18 months, IBIT has amassed more than $72 billion in assets, which it uses to purchase and hold Bitcoin directly. 

The fund owns 663,773 Bitcoins (more than Strategy!) with the remainder of its holdings in cash, allowing it to track the BTC spot price with precision.

IBIT’s return of 56.55% over the last 12 months is almost identical to Bitcoin’s when factoring in the ETF’s expense ratio, which is amongst the lowest in the space at 0.12%. (The management fee is 0.25%, but a waiver brings this down to a net of 0.12%.)

With low costs and unmatched liquidity, IBIT is the closest investors can get to matching Bitcoin’s performance without actually owning any Bitcoin. And it’s not retail leading the charge on this one; institutional investors have gobbled up $7.12 billion worth of shares over the last two quarters.

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The article "3 Smart Ways to Play the Crypto Boom—No Coins Needed" first appeared on MarketBeat.