Simplify Bitcoin Strategy PLUS Income ETF (MAXI) Covered Calls
The Simplify Bitcoin Strategy PLUS Income ETF is an actively managed fund that seeks to provide capital appreciation and income through a three-pronged strategy. It maintains exposure to Bitcoin primarily via spot ETPs and futures, while generating income through a sophisticated options overlay on global equity indices and a portfolio of short-term debt instruments. It is designed for investors seeking a capital-efficient way to combine crypto exposure with regular cash flow.
You can sell covered calls on Simplify Bitcoin Strategy PLUS Income ETF to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for MAXI (prices last updated Tue 4:16 PM ET):
| Simplify Bitcoin Strategy PLUS Income ETF (MAXI) Stock Quote | ||||||
|---|---|---|---|---|---|---|
| Last | Change | Bid | Ask | Volume | P/E | Market Cap |
| 10.17 | +0.15 | 9.80 | 12.00 | 55K | - | 0.0 |
| Covered Calls For Simplify Bitcoin Strategy PLUS Income ETF (MAXI) | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Net Debit | Return If Flat |
Annualized Return If Flat |
|
| Mar 20 | 10 | 0.30 | 11.70 | -14.5% | -481.1% | |
| Apr 17 | 10 | 0.45 | 11.55 | -13.4% | -125.4% | |
| Subscribers get access to the full covered call chain, and more features. | ||||||
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Simplify Bitcoin Strategy PLUS Income ETF (MAXI) is a multi-strategy investment vehicle designed to offer significant Bitcoin participation while prioritizing regular income. Unlike single-strategy funds, MAXI utilizes a "capital-efficient" approach, aiming to deliver 100% Bitcoin exposure alongside an independent income-generating overlay.
Core Strategy and Operations
- Bitcoin Strategy: The fund provides exposure to Bitcoin by investing in a combination of spot Bitcoin ETPs, such as the iShares Bitcoin Trust, and Bitcoin futures contracts. The advisor dynamically manages this exposure, which can range between 50% and 200% of the fund’s net assets based on proprietary technical models.
- Income Strategy: To generate cash flow, the fund employs an options overlay strategy. This involves selling (writing) short-dated put or call spreads on highly liquid global equity indices and various bond or commodity ETFs. This strategy is managed by a sophisticated algorithm designed to harvest premiums while mitigating tail risks.
- Collateral and Debt Instruments: The fund invests its remaining cash in a portfolio of short-term U.S. Treasury securities and other debt instruments. These holdings serve as collateral for the futures and options positions while contributing an additional layer of interest income.
Distribution Model
MAXI is a monthly-paying fund, providing shareholders with regular distributions sourced from the premiums generated by its option-writing strategy and interest from its fixed-income holdings. Because the fund often provides high yields, investors should be aware that portions of the distribution may be classified as Return of Capital (ROC).
Competitive Landscape
MAXI occupies a unique niche by combining Bitcoin exposure with an equity-index option overlay. Its primary competitors in the Bitcoin income space include the Roundhill Bitcoin Covered Call Strategy ETF and the YieldMax Bitcoin Option Income Strategy ETF, though these peers typically focus on writing options directly on Bitcoin assets rather than broad equity indices. For investors seeking pure Bitcoin exposure without the income component, the iShares Bitcoin Trust and VanEck Bitcoin ETF are the standard unleveraged alternatives.
| Top 10 Open Interest For Mar 20 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA covered calls | 6. | QQQ covered calls | 1. | CTMX covered calls | |
| 2. | SLV covered calls | 7. | EWZ covered calls | 2. | PATH covered calls | |
| 3. | EEM covered calls | 8. | FXI covered calls | 3. | USO covered calls | |
| 4. | SPY covered calls | 9. | GLD covered calls | 4. | FLY covered calls | |
| 5. | IBIT covered calls | 10. | KWEB covered calls | 5. | ONDS covered calls | |
Want more examples? MAX Covered Calls | MAXN Covered Calls
Risk Disclosure: Trading options involves significant risk and is not suitable for all investors. The information provided on this website is for educational and informational purposes only and does not constitute financial, investment, tax, or legal advice. Nothing contained on this site is an offer to buy or sell, or a solicitation of an offer to buy or sell, any securities or financial instruments.
Covered Call Strategy Risks: While covered call writing is often considered a conservative options strategy, it is not without risk. By selling a covered call, you are limiting your potential upside profit from the underlying stock. You remain exposed to the full downside risk of owning the underlying stock. In the event of a significant decline in the stock price, the premium received may not be sufficient to offset your losses.
No Guarantee of Performance: Past performance is not indicative of future results. Any examples, calculations, or hypothetical scenarios presented on this site are for illustrative purposes only and do not guarantee future returns or outcomes. Market conditions, liquidity, and trading system failures can affect your ability to execute trades at desired prices.
You should consult with a qualified professional advisor and conduct your own due diligence before making any investment decisions. By using this website, you acknowledge that you are responsible for your own investment decisions and agree to release this site and its affiliates from any liability relating to your use of this information. See the OCC's Characteristics and Risks of Standardized Options for more info.
