Amplify ETFs has launched America’s first XRP options income exchange-traded fund, called the Amplify XRP 3% Monthly Premium Income ETF (XRPM). This marks a major step forward for XRP-based investment products entering regulated markets. XRPM is built to provide investors with consistent returns while also providing exposure to the price fluctuations of XRP.
How XRPM works
The fund aims to generate returns of approximately 36% per annum from option premiums, depending on market conditions. To achieve this, XRPM sells weekly out-of-the-money call options on a portion of its XRP holdings. This setup allows the fund to collect income more frequently than the traditional monthly option and quickly adjust its strategy as markets change.
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Income Plus Growth Potential
The core of the XRPM strategy is a system of writing weekly out-of-the-money call options on a portion of your XRP exposure. This approach allows the fund to reset exercise levels more frequently than traditional monthly options, providing more opportunities to collect premiums and potentially amplifying total returns. Short option cycles also allow the fund to respond quickly to market changes, helping maintain consistent return generation.
Amplify’s statement on the launch
Christian Magoon, CEO of Amplify ETFs, said the company is proud to bring the first XRP yield product to the market. He explained that XRPM allows investors to earn high option premium income while remaining connected to XRP’s role as a fast-settlement asset used globally.
Why XRP Matters
XRP, currently ranked as the fourth largest cryptocurrency by market capitalization, is the native token of the XRP Ledger, an open-source blockchain known for its growing role in rapid transaction settlement and cross-border payments. The launch of XRPM adds another institutional-grade product linked to the asset at a time when investor interest in income-focused cryptocurrency strategies continues to grow.
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Frequently Asked Questions
XRPM is the first XRP options income ETF listed in the United States. Hold XRP and sell weekly out-of-the-money call options to generate high monthly income while maintaining full upside exposure to the XRP price.
XRPM makes money by selling weekly out-of-the-money call options on a portion of your XRP holdings and collecting the premium weekly instead of monthly. This produces higher and more consistent returns than traditional covered call ETFs.
XRPM is targeting annualized returns of approximately 36% in option premiums (approximately 3% per month), but while actual results will vary depending on volatility and market conditions, this is one of the highest returns available in the cryptocurrency ETF space.
Unlike spot XRP ETFs or standard monthly cover call funds, XRPM uses weekly option resets, allowing you to capture more premium collection opportunities and adapt more quickly to XRP price movements.
Yes, XRPM offers high monthly income from option premiums and ongoing exposure to XRP upside, making it ideal for investors who want a return on their XRP holdings without actually selling the cryptocurrency.
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