BITA vs XBTY

BITAAThe iShares Bitcoin Premium Income ETF

XBTYDGraniteShares YieldBOOST Bitcoin ETF

In short

BITA BlackRock's take on the bitcoin income trade: own actual bitcoin, then sell calls on only a quarter to a third of it. Most crypto covered-call funds hand over the upside to buy the yield. This one is built to leave most of it on the table.

XBTY Most bitcoin income funds write calls. XBTY works the other side: selling short-dated put spreads on a 2x long bitcoin ETF, harvesting premium from leveraged volatility while cash sits in Treasury bills. Gains are capped by design.

Stated mandate

BITA The Trust seeks to reflect the performance of bitcoin while generating premium income through an actively managed strategy of selling call options primarily on IBIT shares and, from time to time, on ETP indices.

XBTY The Fund seeks income primarily by selling put options on leveraged ETFs tracking a 2x Long Bitcoin Daily ETF. It also seeks capped exposure to that leveraged ETF's performance.

Why people hold it

• BITA Holds spot bitcoin and IBIT shares directly, and the sponsor aims to write calls on a predetermined 25% to 35% of notional value, leaving the majority of the position unwritten.sec.gov
• 0.65% expense ratio, below the 0.85% typical of crypto options-income funds and at the low end of the category's strongest implementations (BTCC 0.66%, CEPI 0.85%, YBTC 0.96%).
• The partnership wrapper earns its keep: IBIT options are Section 1256 contracts eligible for 60/40 blended rates, and partnerships skip forced year-end capital gain distributions.ishares.com
• Among the better-built options in a crowded crypto income shelf, with the calls written on IBIT, the deepest-traded bitcoin ETP options market.ishares.com

• XBTY Premium comes off a 2x long bitcoin ETF, not spot bitcoin, so each option is priced on double-leverage volatility. Richer premiums per contract, bigger swings behind them.graniteshares.com
• Not naked puts: every put sold (40% out-of-the-money to 10% in-the-money, one week to one month) is paired with a lower-strike put at the same expiry.sec.govgraniteshares.com
• The fund never owns the leveraged ETF. Exposure runs through options and swaps, with cash parked in Treasury bills and other short-term instruments.sec.gov

Worth knowing

• BITA That same partnership structure means a Schedule K-1 instead of a 1099, which lands later in tax season and can add filing steps.ishares.com
• Calls written on part of the book cap gains on that slice. The premium income is paid for with upside, not conjured from thin air.sec.gov
• Launched in 2026 and structured as a trust outside the Investment Company Act, so the record is short and it trades lighter than the category's biggest names.sec.gov

• XBTY 1.15% net of a waiver through December 31, 2026, versus 11.40% gross, since the cap excludes option and swap costs. Above the group: BITA charges 0.65%, YBTC 0.95%.graniteshares.com
• Premium for upside: gains stop at the strike plus premium collected, while a drop in the leveraged ETF hits the fund down to its long-put strike.sec.gov
• Launched May 2025, small and lightly traded, which can mean wider spreads at the screen than the category's biggest names.

Full BITA profile⁠

Full XBTY profile⁠