Roundhill Investments - Bitcoin Covered Call Strategy ETF
YBTC
Chicago Board Options Exchange- -
USD
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- -
Capital Structure
FRC
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in mil. unless spec.Working Capital
FRC
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in mil. unless spec.Growth Rates
FRC
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in mil. unless spec.Quarterly Revenue
FRC
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in mil. unless spec.Quarterly Earnings Per Share
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in mil. unless spec.Quarterly Dividends Per Share
FRC
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in mil. unless spec.- Sector
- Financial Services
- Industry
- Asset Management - Cryptocurrency
- Address
- 154 West 14th Street, 2nd Floor New York NY United States of America 10011
- IPO Date
- Jan 18, 2024
- Website
- roundhillinvestments.com
- Similar Companies
- Business
- Roundhill Bitcoin Covered Call Strategy ETF (YBTC) is an actively managed exchange-traded fund that employs a synthetic covered call strategy to generate current income on a weekly basis while providing capped exposure to the price return of one or more Bitcoin exchange-traded funds (ETFs), or an index thereof, that hold bitcoin and trade on U.S.-regulated securities exchanges; the fund does not invest directly in bitcoin. Core investment strategies and products include purchasing Bitcoin ETF call options and selling Bitcoin ETF put options at the same strike price to create synthetic long exposure to Bitcoin ETFs; selling out-of-the-money Bitcoin ETF call options, including standardized exchange-traded and FLEX options listed on U.S. exchanges, with weekly expirations to harvest option premiums for income; collateralizing positions with short-term U.S. Treasury securities, money market funds, and limited direct holdings in Bitcoin ETFs; and utilizing reverse repurchase agreements as needed to maintain desired exposure levels while qualifying as a registered investment company, with at least 80% of net assets (plus borrowings) in Bitcoin ETF options valued at notional amount. The fund, classified as non-diversified under the 1940 Act, invests indirectly in Bitcoin ETF options through a wholly-owned Cayman Islands subsidiary limited to 25% of total assets; it targets investors seeking weekly income distributions alongside bitcoin price participation, subject to upside caps from sold calls, and collateral primarily in U.S. Treasurys and cash equivalents. Launched on January 18, 2024 by Roundhill Investments LLC, an SEC-registered investment adviser founded in 2018 and headquartered at 154 West 14th Street, 2nd Floor, New York, New York, YBTC lists and trades on the Cboe BZX exchange with a gross expense ratio of 0.95% under a unitary fee structure covering most operating costs; options trading on YBTC shares is available. Recent major developments include ongoing high weekly distributions, such as a 50.71% annualized distribution rate with $2.06 per share paid in July 2024, a 43.05% rate as of late 2024 comprising substantial return of capital, and December 31, 2024 payouts for YBTC alongside peer funds; prospectus supplements effective December 13, 2024 reflecting updated risks and operations amid bitcoin market volatility. The fund operates principally in U.S. markets with global bitcoin exposure via referenced ETFs, serving income-focused investors in the cryptocurrency derivatives segment without direct spot bitcoin holdings or commodities regulation.