Grayscale Funds Trust

Frequently Asked Questions About BTCC

What does BTCC invest in?

The Grayscale Bitcoin Covered Call ETF is primarily designed to deliver consistent cash flow to investors. Its supplementary goal is to offer exposure to Bitcoin's price movements, which it achieves by strategically utilizing options contracts tied to Bitcoin Exchange Traded Products.

What is the expense ratio of BTCC?

Grayscale Funds Trust (BTCC) charges an expense ratio of 0.66%. This is the annual fee deducted from fund assets to cover management and operations.

What is BTCC's distribution yield?

BTCC's trailing-twelve-month yield is 89.10%, calculated from the sum of distributions over the past year divided by the current price. A rate this high reflects large option-premium distributions against a NAV that has declined over the same period — part of each payout may be return of capital rather than earned income.

How does BTCC's covered-call strategy work?

BTCC sells call options against the stocks (or index) it holds, collecting premium income that gets passed through to shareholders as distributions. The strategy generates above-market income in flat or rising markets but caps upside — when the underlying rallies past the strike, the gains above the strike go to the option buyer, not the fund.

How big is BTCC?

Grayscale Funds Trust (BTCC) manages $16.0M in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure — funds below ~$50M are at higher risk of liquidation.

Is BTCC actively managed or an index fund?

BTCC's management style is described in the fund's prospectus. See the description on the Summary tab for the published strategy.