YieldMax CRCL Option Income Strategy ETF (CRCO)

YieldMax CRCL Option Income Strategy ETF is an actively managed exchange-traded fund from YieldMax ETFs, advised by Tidal, that seeks to generate current income from options tied to Circle Internet Group, Inc., the issuer of the USDC stablecoin.

The fund does not own Circle shares directly. Instead it creates synthetic long exposure to the stock with options and sells call options against that position, a synthetic covered-call strategy, while holding short-term U.S. Treasury securities as collateral. Option premiums are the main source of its frequent distributions.

Because of the call-writing, the fund's participation in gains of Circle's stock is capped, while it remains exposed to most of the stock's declines. Distributions may include a return of capital.