The Valkyrie Bitcoin Mining ETF (WGMI) became the worst-performing fund in 2025, falling 43% within the year

According to Bloomberg senior ETF analyst Eric Balchunas, CoinShares' Valkyrie Bitcoin Mining ETF (WGMI) has become the worst-performing ETF of 2025, falling 43% within the year.

WGMI is composed of several listed Bitcoin mining companies. The largest holding, IREN (15% weight), fell 42% within the year. This was followed by Core Scientific (14% weight, down 48%), and Cipher Mining (9.6% weight, down 52%). Even NVIDIA, the sixth-largest holding with a 5% weighting, fell more than 20%.

The investment strategy of WGMI is to invest in companies that derive at least 50% of their revenue or profits from Bitcoin-related businesses. It currently holds shares in twenty-one companies with total assets under management amounting to $147.2 million.

Bitcoin miners have faced significant challenges this year as network hash rate continues to climb towards its historical high nears at around 832 EH/s causing a notable divergence between bitcoin prices and hash power. Meanwhile, miner rewards are decreasing and transaction fees are low which further squeezes miners' profit margins.