ETF over actual coin?

When I buy crypto on Kraken or Coinbase, I feel like I instantly lose 2–3% the moment the trade goes through because of the spread (and that’s not even including the fee). Like I’ll buy $100 worth of BTC or SOL and it’s immediately showing ~$97–$98. That might not sound huge, but it feels brutal when you think about doing that repeatedly over time.

Because of that, I’ve been thinking: why wouldn’t I just buy a crypto ETF instead, especially inside my Roth IRA?

From my perspective, the ETF route seems cleaner and cheaper: • The spread seems basically negligible compared to what I’m seeing on retail crypto apps • The ETF expense ratio is around 0.2% per year (or in that ballpark), which feels tiny compared to losing 2–3% on entry and then again on exit • In a Roth IRA, I don’t have to worry about taxes on gains (as long as I follow withdrawal rules) • I’m not trying to day trade or trade after-hours anyway • I’m mostly thinking long-term hold / DCA for years, not flipping short-term

So… what am I missing?

Everyone online constantly says “buy the actual coin” and “not your keys, not your crypto,” which I get. But from a pure cost perspective, it seems like actually buying and selling the coin through Kraken/Coinbase (at least the way I’m doing it) is way more expensive than people admit. If I’m paying 2–3% spread each time plus fees, that’s a big headwind, especially if you ever rebalance or add in chunks.

Is it just that I’m using the wrong product (like Coinbase vs Coinbase Advanced, Kraken vs Kraken Pro, market orders vs limit orders)? Or are ETFs missing something important that makes the “no spread + Roth IRA” angle not as good as it sounds?

I’d really appreciate any insight from people who’ve done both. Are the spreads I’m seeing normal? Do you just accept them? Or is the ETF-in-Roth strategy actually the simplest move for someone who wants long-term exposure without constantly bleeding 2–3%?

Let me know what you think.