When it comes to investing in Bitcoin (CRYPTO: BTC) and other cryptocurrencies, there are two main ways to go. You can buy the cryptocurrencies themselves with the hope they go up in value over time, or you can invest in businesses that are involved in the crypto economy or that could benefit from it. With that in mind, here are two exchange-traded funds (ETFs) that can give your portfolio exposure to Bitcoin and related companies without requiring you to buy the digital currency on an exchange or select individual Bitcoin-related stocks.

Should you buy a low-cost Bitcoin ETF instead of owning directly?

Several different ETFs own Bitcoin, but the iShares Bitcoin Trust (NASDAQ: IBIT) is by far the largest, with more than $22 billion in assets. Virtually 100% of the fund's assets are in the form of Bitcoin, and Coinbase (NASDAQ: COIN) is the ETF's custodian.

The fund aims to track the price of Bitcoin over time, net of fees. It has a 0.25% expense ratio, which is certainly on the lower end for crypto ETFs and is reasonable in light of the operational costs and other challenges and inconveniences of owning directly.

Not only is owning a Bitcoin ETF like the iShares Bitcoin Trust easier than buying and selling the cryptocurrency on an exchange, but it can also reduce other complications, including tax-related ones. Buying and selling Bitcoin itself can create significant tax implications, especially if you use it to make or receive a payment. The tax implications of this ETF can be far more straightforward.

Should you invest in Bitcoin innovation instead?

Another way to invest in Bitcoin is to buy an ETF that has lots of exposure to Bitcoin-adjacent businesses, such as cryptocurrency exchanges and financial technology companies. One that looks especially interesting is the Ark Fintech Innovation ETF (NYSEMKT: ARKF), an actively managed fund operated by Cathie Wood's Ark Invest.

To be sure, this isn't a pure cryptocurrency play. The fund invests in other areas of financial technology innovation, such as digital wallet providers and e-commerce businesses. Its largest holding, Shopify (NYSE: SHOP), has little connection with cryptocurrency.

But the fund does have a lot of exposure to crypto and related businesses. Crypto exchange Coinbase is the fund's second-largest holding, and Block (NYSE: SQ), which has extensive exposure to Bitcoin, is number three. Robinhood (NASDAQ: HOOD), which allows customers to easily buy and sell cryptocurrencies, and Ark's own Bitcoin ETF are also among the top positions.

The fund's expense ratio of 0.75% is a bit on the higher end, but that's reasonable for a highly specialized, actively managed fund.

Which is right for you?

To be perfectly clear, you don't necessarily need cryptocurrency exposure in your stock portfolio, and Bitcoin (and related businesses) tend to be more volatile than the average stock investment. However, if you're a believer in the global cashless economy or believe Bitcoin is going to continue to move toward mainstream usage and adoption, getting a piece of one of these two ETFs could be a smart way to invest.

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Matt Frankel has positions in Block and Shopify. The Motley Fool has positions in and recommends Bitcoin, Block, Coinbase Global, and Shopify. The Motley Fool has a disclosure policy.

Want Cryptocurrency Exposure? Here Are 2 Bitcoin ETFs You Can Buy Right Now was originally published by The Motley Fool