Bitwise has recently unveiled three new Exchange-Traded Funds (ETFs) catering to investors seeking income options with exposure to prominent Bitcoin treasury companies. These innovative ETFs utilize a covered call strategy to leverage equity volatility while safeguarding the potential for gains linked to Bitcoin.
Introducing the ETFs
The newly launched ETFs are as follows:
- $IMST: This ETF tracks Strategy (formerly known as MicroStrategy, ticker: MSTR) and currently holds a substantial 528,185 BTC.
- $IMRA: Focused on MARA Holdings (MARA), a leading Bitcoin miner with 47,600 BTC in its treasury.
- $ICOI: Offers exposure to Coinbase (COIN), a platform holding 9,480 BTC that acts as a vital gateway for institutional and retail Bitcoin adoption.
Strategy Overview
Each of these ETFs utilizes an actively managed options overlay strategy by writing out-of-the-money calls on the underlying equity while maintaining a long position. The primary objective is to provide investors with monthly income distributions, which is especially appealing in today's environment characterized by high volatility. Furthermore, investors retain significant exposure to the performance of Bitcoin-linked companies.
Capital Allocation Tools for Bitcoin-Aligned Investors
For corporate treasurers and institutional investors viewing Bitcoin as a strategic long-term asset, these ETFs offer an attractive avenue to gain indirect exposure and generate yields. This is particularly beneficial for balance sheets that are unable to directly hold BTC.
Implications for Bitcoin Treasury Strategy
The introduction of these ETFs signifies a shift in the perception of Bitcoin from a standalone asset to an integral component of equity strategy, yield generation, and portfolio construction. While covered call structures may not suit every investor or treasury, it underscores the evolving market sentiment that Bitcoin can be actively managed, structured, and monetized in innovative ways.
These ETFs are not intended to replace direct Bitcoin holdings on corporate balance sheets but rather complement them. They serve as a strategic tool for firms navigating the intersection of Bitcoin exposure and traditional risk management.
Disclaimer: The content presented here is in affiliation with Bitcoin For Corporations and is intended for informational purposes only. It does not constitute investment advice or an offer to engage in securities transactions.
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How To
Tips for Investing In Gold
Investing in Gold has become a very popular investment strategy. There are many benefits to investing in gold. There are many ways you can invest in gold. Some people buy physical gold coins, while others prefer investing in gold ETFs (Exchange Traded Funds).
Before you purchase any type or gold, here are some things to think about.
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By: Nick Ward
Title: Bitwise Launches New ETFs for Bitcoin Treasury Stocks
Sourced From: bitcoinmagazine.com/bitcoin-for-corporations/bitwise-debuts-option-income-etfs-on-bitcoin-treasury-stocks-mstr-mara-coin
Published Date: Fri, 04 Apr 2025 10:23:24 +0000
