- Amplify, a $12.6B asset manager, has filed for a new XRP ETF focused on generating monthly income
- The fund uses a classic Wall Street “covered call” strategy to generate yield from XRP’s volatility
- This signals a new phase of market maturation, with sophisticated TradFi products coming to crypto
A $12.6 billion Wall Street firm just filed for an XRP ETF, and they’re bringing a new strategy with them. Amplify Investments, a Chicago-based firm with over $12.6 billion in assets, has filed for a first-of-its-kind XRP ETF designed not just for price exposure, but to generate a steady monthly income stream for investors.
According to lawyer Bill Morgan, the filing represents more than just another ETF attempt. It highlights growing institutional interest in digital assets and could set the stage for a new category of crypto-based income products if approved.
How Amplify’s “Option Income” Strategy Works
This isn’t your standard spot ETF. Amplify is using a sophisticated structure to offer yield and bypass the challenges of direct crypto custody.
Does the fund hold real XRP?
No. The fund will not hold XRP directly. Instead, it will use a Cayman Islands subsidiary to gain exposure through financial instruments like options and other exchange-traded products. This is a common structure for Wall Street firms entering the crypto space.
Related: XRP Tops Crypto Market Ahead of October SEC ETF Decisions
How does it generate a monthly yield?
The core of the strategy is selling covered call options against its XRP-linked holdings. By selling calls that are typically 5–10% above the current price, the fund collects option premiums. These premiums are then distributed to investors as monthly income.
Why This is a Major Signal for Institutional Adoption
This filing is a significant indicator of how institutional interest in crypto is maturing beyond simple price speculation.
What does this mean for the future of crypto products?
The Amplify proposal introduces a new category of crypto-based income products to the U.S. market.
As lawyer and crypto commentator Bill Morgan noted, this combination of yield and price participation makes the ETF stand out, especially for institutions looking to balance crypto’s growth potential with the income stability they are used to in traditional markets. The XRP bulls now have both a legal shield and the sword of new ETFs.
Related: XRP Bulls Get a Shield (Legal Clarity) and a Sword (ETFs)
What is the current regulatory outlook?
The filing enters a crowded field, with more than 90 crypto-related ETFs awaiting a decision from the SEC. While the broader market is watching for the October SEC decisions, the approval of a sophisticated product like this would mark another major milestone in the normalization of digital assets in mainstream finance.
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Source: https://coinedition.com/wall-street-gets-creative-amplify-files-for-an-xrp-etf-that-pays-a-monthly-yield/
