**Roundhill Invests in an Innovative Strategy: ETH Covered Call ETF**
CryptoNewsTerminal Staff04 Sep, 2024
**Roundhill Invests in an Innovative Strategy: ETH Covered Call ETF**
Roundhill Invests in an Innovative Strategy: ETH Covered Call ETF Roundhill Investments, a renowned US-based investment firm, has recently launched an exchange-traded fund (ETF) with a unique strategy revolving around Ethereum. The ETF, known by its ticker symbol YETH, employs a covered call strategy on Ethereum (ETH), offering investors a new approach to participate in the cryptocurrency market. A covered call strategy involves simultaneously purchasing the underlying asset, in this case, ETH, and selling (or writing) a call option on it. The premium received from selling the call option serves as a source of income, potentially enabling the fund to distribute dividends to its investors. Roundhill filed the fund's registration statement with the Securities and Exchange Commission (SEC) on June 3, paving the way for its launch. This ETF represents an innovative approach to investing in the cryptocurrency market, providing investors with an option to earn regular income while still maintaining exposure to the underlying asset.
