Back Test Results

Covered Call
We backtested our strike selection strategy using the last one-year data on ETH to see that our strike selection algorithm 35.89% APY with the strike price at Delta 0.1 and generated 73.69% APY with the strike price at Delta 0.3.
Low-Risk, Medium Return Covered Call (Delta = 0.1)
With Delta at 0.1, our strike selection strategy yielded 35.89% APY.
ETH Price vs Call Option Strike Price
ETH Holdings. 1 ETH grows to 1.354 ETH with Low-Risk, Medium-Return Strategy
This strategy is now LIVE. You can stake now and start earning yield on your assets.
Medium-Risk, High-Return Covered Call (Delta = 0.3)
With Delta at 0.3, our strike selection strategy yielded 73.69% APY.
ETH Price vs Call Option Strike Price
ETH Holdings. 1 ETH grows to 1.726 ETH with Medium-Risk, High-Return Strategy
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This is a medium-risk, high-return strategy which will be unveiled soon along with more variations of the covered call with different risk-return payoffs.
Cash-Covered Put
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We backtested our strike selection strategy using the last one-year data on ETH to see that our cash-covered puts only expired in the money 3 times out of a total of 53 times while collecting a nifty premium of $107 and significantly reducing the average accumulation price of Ethereum when the Delta was 0.1.
Low-Risk, Medium Return Cash-Covered Put (Delta = - 0.1)
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Even though the APY of this strategy is -9.73%, it is more than compensated by the accumulation of ETH at an average price of $1,886, given you bought ETH whenever the cash-covered put expired in the money. This is ~ 37.57% ($3,021-$1,886/$,3021 * 100) lower compared to the average accumulation price of $3,021 if you purchase ETH outright every week, making cash-covered puts the most economical way to accumulate blue-chip assets such as Ethereum and Bitcoin from a long-term perspective.
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ETH Price vs Cash-Covered Put Option Strike Price
USD Premium Collected is $107
Equity Curve
​Cash-Covered Put at Delta - 0.1 is a low-risk, medium-return strategy. This weekly strategy is live with BTC and ETH as the underlying and USDC as collateral.

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Outline

Covered Call

Low-Risk, Medium Return Covered Call (Delta = 0.1)

Medium-Risk, High-Return Covered Call (Delta = 0.3)

Cash-Covered Put

Low-Risk, Medium Return Cash-Covered Put (Delta = - 0.1)