COYY Butterfly Strategy
COYY (GraniteShares YieldBOOST COIN ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.
The Fund’s primary investment objective is to achieve 2 times (200%) the income generated from selling options on Coinbase Global, Inc. (NASDAQ COIN) (the “Underlying Stock”) by selling options on leveraged exchange-traded funds designed to deliver 2 times (200%) the daily performance of the Underlying Stock (the “Underlying Leveraged ETF”). The Fund’s secondary investment objective is to gain exposure to the performance of the Underlying Leveraged ETF, subject to a cap on potential investment gains. A downside protection may be implemented which could affect the net income level.
COYY (GraniteShares YieldBOOST COIN ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $35.7M, a beta of 0.32 versus the broader market, a 52-week range of 3.69-27.17, average daily share volume of 215K, a public-listing history dating back to 2025. These structural characteristics shape how COYY etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.32 indicates COYY has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. COYY pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a butterfly on COYY?
A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.
Current COYY snapshot
As of May 15, 2026, spot at $3.77, ATM IV 93.70%, expected move 26.86%. The butterfly on COYY below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 34-day expiry.
Why this butterfly structure on COYY specifically: IV rank is unavailable in the current snapshot, so regime-based timing for COYY is inferred from ATM IV at 93.70% alone, with a market-implied 1-standard-deviation move of approximately 26.86% (roughly $1.01 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated COYY expiries trade a higher absolute premium for lower per-day decay. Position sizing on COYY should anchor to the underlying notional of $3.77 per share and to the trader's directional view on COYY etf.
COYY butterfly setup
The COYY butterfly below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With COYY near $3.77, the first option leg uses a $3.58 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed COYY chain at a 34-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 COYY shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $3.58 | N/A |
| Sell 2 | Call | $3.77 | N/A |
| Buy 1 | Call | $3.96 | N/A |
COYY butterfly risk and reward
- Net Premium / Debit
- N/A
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- Unbounded
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- N/A
Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.
COYY butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on COYY. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.
When traders use butterfly on COYY
Butterflies on COYY are pinning bets - traders use them when they expect COYY to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
COYY thesis for this butterfly
The market-implied 1-standard-deviation range for COYY extends from approximately $2.76 on the downside to $4.78 on the upside. A COYY long call butterfly is a pinning play: it pays maximum at the middle strike if COYY settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. As a Financial Services name, COYY options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to COYY-specific events.
COYY butterfly positions are structurally neutral / pin (limited-risk, limited-reward); the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. COYY positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move COYY alongside the broader basket even when COYY-specific fundamentals are unchanged. Always rebuild the position from current COYY chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on COYY?
- A butterfly on COYY is the butterfly strategy applied to COYY (etf). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With COYY etf trading near $3.77, the strikes shown on this page are snapped to the nearest listed COYY chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are COYY butterfly max profit and max loss calculated?
- Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the COYY butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 93.70%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a COYY butterfly?
- The breakeven for the COYY butterfly priced on this page is no defined breakeven on the modeled curve at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current COYY market-implied 1-standard-deviation expected move is approximately 26.86%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on COYY?
- Butterflies on COYY are pinning bets - traders use them when they expect COYY to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
- How does current COYY implied volatility affect this butterfly?
- Current COYY ATM IV is 93.70%; IV rank context is unavailable in the current snapshot.