Neos deposits to launch an ETF ETF “high income”, using indirect ETP exposure to generate higher yields at an increased risk. The company will create this opportunity thanks to a power and call system.
ETF analysts have theorized that Ethereum’s recent performance has encouraged this market to specialize. If institutional entries continue at high rates, this will allow companies and neos to make risky games on a large scale.
The ETF ETF market is risky
Ethereum is doing incredibly well at the moment, leading certain analysts to wonder if he could dethrone the bitcoin himself. Two weeks ago, the ETHEREUM ETHERE has exceeded their BTC -based counterparts, shocking the markets while the bullish momentum continues.
Obviously, these high performance now lead to proposals for new interesting products.
More specifically, the Neos, an investment company, has just deposited with the SEC to create an ETF ETF “high income”. Essentially, this product would differentiate from other ETPs based on ETH by focusing on the maximum investor gains.
It will not be directly correlated with the prices of the tokens themselves, but rather focuses on investment in the ETF Spot.
How would this product work?
After having invested in these funds, high -income ETF managers will generate risky and high yields by purchasing and selling power and purchase options on these funds.
Neos call this a “synthetic covered call strategy” because it has purely an indirect exposure to ETH, but this plan can make a higher income juice than a direct correlation.
Neos has already proposed a high -income ETF similar to Bitcoin, but it develops in new categories. Eric Balchunas, a Bloomberg ETF analyst said that recent Ethereum performance was directly responsible for the deposit.
If institutional investors continue to give these assets enormous entries, there will be more room for maneuver to make more risky games.
Essentially, the deposit of Neos represents a maturation of the entire ETF sector ETF. For the moment, we do not know what the dry will think of the transmitter’s proposal. Anyway, this increased confidence in the market seems to be an encouraging signal.
The postal files to create a high income ETF appeared first on Beincrypto.
