10x Research: It is recommended to hold spot Bitcoin and sell out-of-the-money call and put options linked to Bitcoin

2024-05-20 15:09:06

Collection

ChainCatcher news, according to CoinDesk, 10x Research recommends selling out-of-the-money (OTM) call and put options related to Bitcoin while holding Bitcoin in the spot market.

10x Research stated: "In addition to spot market holdings, BTC investors looking for additional income should consider implementing a 'covered strangle' options strategy. Our preferred strategy is to buy Bitcoin spot, sell call options with a strike price of $100,000, and sell put options with a strike price of $50,000 expiring in December 2024. The yield from selling call options is 11%, and the yield from selling put options is 6%. Therefore, this strategy provides us with a 17% downside buffer or 17% additional yield, depending on the December BTC closing price, and we will capture all the upside (or downside) value of Bitcoin."

(Source Link)

ChainCatcher reminds readers to view blockchain rationally, enhance risk awareness, and be cautious of various virtual token issuances and speculations. All content on this site is solely market information or related party opinions, and does not constitute any form of investment advice. If you find sensitive information in the content, please click "Report", and we will handle it promptly.