NEOS Bitcoin High Income ETF

BTCI

Market cap $679M

NEOS Investments offer high yielding monthly income ETFs based on options strategies on equity and alternative investments. As a secondary priority, the ETFs seek capital appreciation from the underlying securities held. Four of the funds use Section 1256 Index Option Contracts, which treat distributions as 60% long term and 40% short term capital gains.

Bitcoin is often referred to as “digital gold.” Debate remains about how similar the cryptocurrency and commodity are.

Covered call ETFs are increasingly popular for their high yields, but differ in their option-selling strategies. NAV erosion is a common challenge, as distributions often reduce capital over time.

WESTPORT, Conn.--(BUSINESS WIRE)--NEOS Investments, an asset management firm comprised of leaders and pioneers in the options-based ETF space, announces September monthly distribution amounts for their suite of ETFs that pursue monthly income and tax efficiency across core portfolio exposures. ETF distribution information as of the September 2025 Ex-Div Date (9/24/2025)   Distribution Rate* Amount / Share (%) Amount / Share ($) Distribution Frequency 30-Day SEC Yield** Bitcoin High Income ETF (.

The NEOS Bitcoin High Income ETF has surpassed $700 million AUM in under a year, reflecting strong investor interest. BTCI's strategy balances high monthly income (25.8% TTM) from Bitcoin volatility with better NAV protection compared to higher-yielding peers YBTC and YBIT. While BTCI limits upside during Bitcoin rallies, it delivers superior total returns (56%) and cushions against NAV erosion, though downside risks remain in case Bitcoin drops acutely.

NEOS Bitcoin High Income ETF (BTCI) remains a Buy, benefiting from bitcoin's upside and active option strategies that closely track the underlying asset. BTCI offers modest drawdown mitigation and strong upside capture, outperforming many passive option-writing ETFs, especially in bullish or stable markets. Lower bitcoin volatility may slightly reduce BTCI's drawdown protection, but its active management sustains income generation and capital growth.

The NEOS Bitcoin High Income ETF offers a balanced approach for income investors, blending high monthly distributions with Bitcoin exposure. BTCI employs options strategies and return of capital (ROC) for tax-efficient income, maintaining a steady NAV unlike riskier high-yield ETFs. While BTCI slightly underperforms direct Bitcoin holdings like IBIT, it delivers a substantial 28% annualized yield with only modest capital gains forfeiture.

NEOS' August Monthly Income Podcast featured Garrett Paolella and Troy Cates, co-founders and managing partners of NEOS Investments, with ETF industry veteran Tom Lydon. The three discussed the firm's recent three-year anniversary as well as physical gold and bitcoin, or “digital gold” investing.

My Dividend Harvesting Portfolio hit new all-time highs in both value and annualized dividend income, now exceeding $2,500 per year. I believe a lower interest rate environment will benefit financials, BDCs, and REITs, positioning my portfolio for continued strong performance. Diversification and reinvestment have driven a 33.1% return on invested capital, with 20% of my capital already returned as dividends.

On this episode of the ETF of the Week podcast, VettaFi's head of research Todd Rosenbluth discussed the NEOS Bitcoin High Income ETF (BTCI) with Chuck Jaffe of Money Life. The pair discussed several topics related to the fund to give investors a deeper understanding of the ETF overall.