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Grayscale Launches Bitcoin-Covered Call and Premium Income ETFs

Grayscale Investments, a leading digital asset management firm, has announced the launch of two new exchange-traded funds (ETFs): Grayscale Bitcoin Covered Call ETF (GBCC) and Grayscale Bitcoin Premium Income ETF (GBP).

The GBCC ETF is designed to generate income and potentially reduce volatility by selling covered calls on a diversified portfolio of Grayscale's Bitcoin Trust (GBTC) shares. The fund will seek to profit from the value of the underlying Bitcoin, while also generating income through the sale of options contracts.

The GBP ETF, on the other hand, is focused on generating premium income through the sale of options contracts on a diversified portfolio of GBTC shares. The fund will aim to profit from the differences in option prices, rather than the value of the underlying Bitcoin.

Both ETFs will be listed on the NYSE Arca and will be actively managed by Grayscale's investment team. The funds will have a total expense ratio (TER) of 0.65% and 0.45%, respectively.

"We are excited to offer these innovative ETFs to investors, providing a new way to gain exposure to the growing cryptocurrency market," said Michael Sonnenshein, Grayscale's Managing Director. "Our goal is to provide investors with a range of investment options that align with their risk tolerance and investment objectives."

The launch of these ETFs marks another milestone in Grayscale's efforts to democratize access to digital assets and provide investors with a range of investment options. The company has been a pioneer in the digital asset management space, offering a range of ETFs and investment products that track the value of popular cryptocurrencies, including Bitcoin and Ethereum.