Bottom line: YBTC uses a synthetic covered-call strategy on Bitcoin-related ETFs to generate weekly income while offering capped participation in Bitcoin’s price movements. Bitcoin’s high volatility can support attractive option premiums, making the fund a candidate for income investors who want crypto-linked cash flow without direct ownership of the asset.
It is not a pure Bitcoin tracker or a stable income vehicle. The strategy caps upside, leaves most downside exposure intact, and can experience meaningful NAV erosion, especially during sharp Bitcoin declines or when distributions exceed economic earnings. Payout amounts vary with implied volatility.
Treat it as a tactical, high-risk income sleeve sized to your ability to withstand crypto drawdowns and changing weekly distributions. Review the prospectus, ROC estimates, and Bitcoin market conditions before acting. This is not investment advice.
Monthly Distributions for YBTC
| Month | Distributions | No. of shares | Net Distribution / share |
|---|---|---|---|
| August 2024 | $211.16 | 131 | $1.6119 |
| July 2024 | $138.17 | 67 | $2.0622 |
| June 2024 | $61.13 | 67 | $0.9124 |
| May 2024 | $123.50 | 67 | $1.8433 |
| Grand Total: | $4,638.81 | 13,448 | $0.3449 |
ETF Investment Summary
| Investment | Shares | Distributions | Purchase price / share | Real price / share | Market price / share |
|---|---|---|---|---|---|
| $3,819.69 | 130 | $4,783.50 | $44.82 | $29.38 | $17.59 |
Notes:
• Investment = Current Adjusted Cost Basis (after accounting for sells and distributions)
• Purchase price / share = Historical average price of all shares ever bought
• Real price / share = Current adjusted cost basis per remaining share (after distributions reduce basis)
• Market price / share = Latest market price of the ETF
Personal Chart – Real Price vs Real Price + Cumulative Distributions
Blue line = Real Price per share (cost basis after buys, sells & distributions)
Red line = Real Price + Cumulative Net Distributions received so far
Purple line = Cumulative Realised Capital Gains from sales
Green bars = Number of shares held at month-end
When the green bars drop to zero, the blue/red lines also go to zero (full exit of the position).