Amplify Bitcoin 2% Monthly Option Income ETF (BITY) Covered Calls

The Amplify Bitcoin 2% Monthly Option Income ETF targets high income and capital appreciation through a synthetic covered call strategy on Bitcoin. By selling weekly out-of-the-money options, the fund seeks a 2% monthly (24% annualized) premium. BITY provides a regulated way to monetize crypto volatility while maintaining Bitcoin price exposure, making it a key yield-generation tool for digital asset investors in 2026.

You can sell covered calls on Amplify Bitcoin 2% Monthly Option 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 BITY (prices last updated Fri 4:16 PM ET):

Amplify Bitcoin 2% Monthly Option Income ETF (BITY) Stock Quote
Last Change Bid Ask Volume P/E Market Cap
31.41 +2.06 24.04 39.47 14K - 0.0
Covered Calls For Amplify Bitcoin 2% Monthly Option Income ETF (BITY)
Expiration Strike Call Bid Net Debit Return
If Flat		 Annualized
Return If Flat
Feb 20 31 0.25 39.22 -21.0% -511.0%
Mar 20 31 0.30 39.17 -20.9% -177.4%
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Extended Business Description

Amplify Bitcoin 2% Monthly Option Income ETF is an actively managed fund designed to transform Bitcoin’s high volatility into consistent monthly cash flow. Using a synthetic "buy-write" strategy, BITY aims to provide investors with a targeted 2% monthly distribution (24% annualized) while participating in the potential price appreciation of the underlying digital asset.

Core Strategy and Operations

  1. Weekly Option Writing: Unlike many monthly-reset funds, BITY writes (sells) weekly out-of-the-money call options. This increased frequency allows the fund to capture volatility premiums more efficiently and adjust strike prices rapidly in response to Bitcoin’s price swings.
  2. Synthetic Exposure: The fund gains its Bitcoin price exposure through derivatives—typically a combination of long call options and short put options on spot Bitcoin ETPs like the iShares Bitcoin Trust. This replicates the performance of the asset without direct custody requirements.
  3. Income & Collateral: Distributions are paid monthly and are primarily derived from option premiums and interest on its collateral, which consists of short-term U.S. Treasuries and cash equivalents.

Competitive Landscape

BITY is a leader in the crypto-income space, competing with high-yield products like the YieldMax COIN Option Income ETF and the YieldMax MSTR Option Income ETF. It is often paired with its more aggressive sibling, the Amplify Bitcoin Max Income ETF, which targets even higher premiums. For non-income exposure, investors look to spot products like the Bitwise Bitcoin ETF or the Fidelity Wise Origin Bitcoin Fund.

Strategic Outlook and Innovation

In 2026, BITY remains a primary choice for yield-hungry investors due to its competitive 0.65% expense ratio and its "Dynamic Strike Selection" methodology. This active management approach is designed to balance the 2% monthly payout with enough "upside cap" flexibility to ensure investors aren’t completely left behind during Bitcoin bull runs. As the 2026 digital asset market matures, BITY is increasingly used by financial advisors as a "core" income satellite within diversified portfolios, providing a regulated bridge between the high-growth crypto sector and traditional income needs.