The post NEOS Files “High Income” Ethereum ETF Using Options Strategy appeared on BitcoinEthereumNews.com.

NEOS files for Ethereum ETF using options strategy, aiming for higher income amid rising ETH interest and pending SEC approval. NEOS Investment Management has taken a bold step in the crypto world. The firm has filed with the U.S. Securities and Exchange Commission (SEC) to launch a new Ethereum exchange-traded fund (ETF). This ETF is referred to as the High Income Ethereum ETF. It is devised to provide investors with greater returns. It has more risk, though. NEOS Plans Income-Focused Ethereum ETF Amid Market Surge This ETF will not use the direct approach when tracking the price of Ethereum. It will, first, invest in the already existing spot Ethereum ETFs. Thereafter, NEOS managers will sell put and call options on those ETFs. This is called a synthetic covered call strategy. To put it in simple words, it implies that the ETF will attempt to generate additional income through options trading. Due to this, the fund offers direct exposure to Ethereum and an opportunity to increase earnings. This is not the first time NEOS has done this. As a matter of fact, the firm already has a similar ETF on Bitcoin. That fund is named the Bitcoin High Income ETF (BTCI) and has produced good results. The distribution rate of BTCI as of August 1, 2025, is 27.92 percent. The success probably allowed NEOS to attempt the same with Ethereum. Currently, Ethereum has been doing extremely well. Only two weeks ago, Ethereum ETFs had performed better than the Bitcoin ETFs. This shocked most players in the market. Consequently, Ethereum is igniting the interest of more investors. Bloomberg analyst Eric Balchunas reported that Ethereum has been doing very well, and that is the primary cause of the new filing of NEOS. Related Reading: Truth Social Files for First Combined Bitcoin and Ethereum…

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Filed under: News - @ August 12, 2025 7:27 pm