Bitwise Asset Management, a global crypto asset manager with more than $15 billion in client assets, today announced the launch of two new option income funds: the Bitwise CRCL Option Income Strategy ETF (ICRC) and the Bitwise Ethereum Option Income Strategy ETF (IETH). ICRC is the first-ever covered call ETF that offers investors exposure to stablecoin creator Circle, whose initial public offering in June was one of the most successful public listings for a crypto firm in history.1 IETH similarly combines an expertly managed options income strategy with underlying exposure to ether, the native token of the blockchain behind two fast-growing segments of crypto: stablecoins and tokenization.
The launch expands Bitwise’s suite of income-focused ETFs, which also includes covered call strategies centered on Strategy (IMST), MARA Holdings (IMRA), Coinbase (ICOI), and GameStop (IGME).
“ICRC and IETH take complex derivatives instruments and, through sound strategy construction, harness them as accessible investment tools,” said Gordon Grant, Portfolio Manager and Head of Derivatives at Bitwise. “ICRC trades options on CRCL both to generate potential income and to provide ongoing exposure to a leading stablecoin provider, while IETH’s exposure to ether seeks to exploit the premium from ether’s at-times elevated volatility, while also participating in core thematic trends such as institutional adoption of ETH, tokenization demand, and network effects from stablecoins. Together, they offer disciplined ways for investors to engage with crypto’s growth.”
By seeking to harness volatility to generate income, ICRC and IETH offer fresh ways for investors to tap into crypto’s biggest stories. ICRC provides exposure to one of the most influential companies behind stablecoins, a $284 billion market that has grown more than 90% over the past three years.3 IETH, meanwhile, seeks to offer income-generating exposure to both stablecoins and tokenized assets, a $31 billion market that has grown 1,600% since 2022.4
“The expansion of the option income suite is a game-changer for everyday investors,” said Hunter Horsley, CEO of Bitwise. “Crypto is famous for its volatility, and these ETFs turn that into an opportunity to earn income for investors. Launching ICRC, the first-of-its-kind CRCL covered call strategy, and IETH, an innovative ether option income strategy, is a step forward for Bitwise, and we’re thrilled about the value they bring to our growing community of investors.”
The ETFs aim to make income distributions monthly, with the first distribution to be announced on November 26. Distributions may include return of capital, which will have different tax treatment and may reduce an investor’s cost basis. The expense ratio is 0.97% for IETH and 0.98% for ICRC.
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