GrayScale, a leading password asset manager, introduced two new Bitcoin ETFs to provide an investor’s new way to get imports while holding a BTC. The ETF, Bitcoin Covering Call ETF (BTCC) and Bitcoin Premium Income ETF (BPI) generate revenue to create returns and make it different from existing Bitcoin Funds.
BTCC: Income Priority Strategy
First, Gray Scale Bitcoin deals with Call ETF (BTCC), which prioritizes income generation. We achieve this by systematically creating a currency close to the spot price of the Bitcoin Exchange Exchange, including the Gryscale Bitcoin TrestC (GBTC) and GrayScale Bitcoin Mini Trust ETF (BTC).
In addition, the market stagnation provides a safety net, so it is attractive to those who have a balance of risk and compensation.
BPI: Income balance and rise
Second, we have a GrayScale Bitcoin Premium Income ETF (BPI), which takes another approach. Unlike BTCC, BPI creates a call option with a much higher attack price. In other words, investors can still benefit from Bitcoin’s potential rising while still earning additional income.
This strategy can still be captured by more than BTCC and still maintain some risk management.
Bitcoin ETF benefits
Interestingly, BTCC and BPI tracks other Bitcoin ETFs without owning Bitcoin. This includes GrayScale GBTC (Bitcoin Trust) and BTC (Bitcoin Mini Trust). By doing so, they are exposed to Bitcoin without direct danger to maintain cryptocurrency.
But Grayscale’s global ETFS officer David Lavalle explains the value of this funding to investors. According to Lavalle, BTCC supplements the existing Bitcoin holding by adding income, while the BPI provides more strategic alternatives to Bitcoin ownership, balancing the rising potential with consistent income.
Increasing the need for income -based bitcoin products
Since the launch of the SPOT ETF in January 2024, institutional interest in Bitcoin has soared, but the volatility of Bitcoin is still important. After 48% surge in the fourth quarter of 2024, Bitcoin lost 12% in the first quarter of 2023, contrasting with the historically strong 1 quarter of 2023 and 2024.
As a result, the demand for income -generating bitcoin products such as Grayscale ETF helps investors can manage volatility.
With these new funds, GrayScale aims to fill this gap by providing income -based strategies to help cushions of bitcoin’s volatility price fluctuations.