Amplify Don Launch XRPM: XRP Income ETF Wey Get 3% Monthly Yield
Amplify ETFs don launch XRPM, di first XRP Income ETF wey dey use covered call option premium strategy to target 3% monthly yield (36% yearly). Dem dey use their own YieldSmart way, XRPM dey write weekly out-of-the-money call options for 30%-60% of im XRP allocation and put di rest for XRP futures. Different from spot crypto ETFs, XRPM no get any underlying XRP but e dey try get steady option premium income plus keep di upside exposure.
CEO Christian Magoon talk say XRPM dey connect traditional finance and digital assets by mixing weekly upside potential and predictable yield. This one come after Canary Capital launch their spot XRP ETF wey carry $58 million volume on di first day despite market wahala. On-chain data from Glassnode show say even though XRP don rally nearly four times since late 2024, 41.5% of di supply still dey under water at the current $2.16 price, wey fit cause selling pressure if holders wan break even.
By giving transparent XRP Income ETF wey get predictable monthly option premium revenues plus uncapped upside, XRPM dey provide traders balanced risk-reward tool. Whether e go succeed depend on if new demand fit absorb all di underwater supply and keep di momentum going up.
Bullish
The launch of XRPM go likely make XRP dey bullish because e dey create new demand wey dey look for yield plus institutional interest. By providing clear XRP Income ETF wey get covered call option premium strategy and upside participation through futures, XRPM dey attract traders wey focus on income and growth. The predictable 3% monthly yield fit reduce pressure for sell side from holders wey dey underwater and e go encourage long-term holding. Even though big part of supply still dey underwater, the innovative product structure plus potential inflows from yield investors dey support upward momentum and market stability for XRP.