YieldMax MSTR Option Income Strategy ETF

Options income, not stock ownership, is the engine of MSTY. The fund takes synthetic exposure to Strategy, formerly MicroStrategy, and writes call options against it, collecting the premium and paying it out as large monthly distributions. That trade defines the payoff: the eye-catching headline yields come from option income and, at times, return of capital, not from a dividend the underlying pays. The cost is capped upside, since when MSTR rockets higher the sold calls limit how much the fund captures, while it still absorbs much of the downside when the stock falls. YieldMax, run by Tidal and ZEGA Financial, launched it in February 2024, and it became one of the most popular funds in the option-income category on the back of Strategy's volatility, which inflates the premiums it can collect. Income-focused traders buy it accepting that the principal can erode.

On MyRWA, MSTY trades tokenized across 1 on-chain venue - see the listings below.