How are TXXD 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 TXXD butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 111.30%), the computed maximum profit is $167.89 per contract and the computed maximum loss is -$10.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a TXXD butterfly?

The breakeven for the TXXD butterfly priced on this page is roughly $45.00 and $48.98 at expiration, derived from the September 29, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The TXXD market-implied 1-standard-deviation expected move in the same options snapshot is approximately 31.91%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current TXXD implied volatility affect this butterfly?

Current TXXD ATM IV is 111.30%; IV rank context is unavailable in the current snapshot.

TXXD Butterfly Strategy

TXXD (21Shares 2x Long Dogecoin ETF), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.

TXXD fund aims to deliver 2x the price return of Dogecoin (DOGE) net fees and expenses, for a single day, through a combination of different derivatives. This includes swaps, futures, and options. A Cayman Islands subsidiary is used to hold DOGE-related investments under rules aligned with the Investment Company Act. The fund may employ reverse repurchase agreements or similar tools to help maintain exposure and manage cash flows. To maintain this exposure, the fund undergoes daily rebalancing. Returns may deviate from the expected 2x if held for longer than a single day due to compounding.

TXXD (21Shares 2x Long Dogecoin ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $287,778, a beta of 3.54 versus the broader market, a 52-week range of 28-276.8, average daily share volume of 69K, a public-listing history dating back to 2025. These structural characteristics shape how TXXD etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 3.54 indicates TXXD has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. TXXD pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on TXXD?

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.

TXXD snapshot

As of September 29, 2026, spot at $46.98, ATM IV 111.30%, expected move 31.91%. The butterfly on TXXD below is built from the September 29, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 17-day expiry.

Why this butterfly structure on TXXD specifically: IV rank is unavailable in the current snapshot, so regime-based timing for TXXD is inferred from ATM IV at 111.30% alone, with a market-implied 1-standard-deviation move of approximately 31.91% (roughly $14.99 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated TXXD expiries trade a higher absolute premium for lower per-day decay. Position sizing on TXXD should anchor to the underlying notional of $46.98 per share and to the trader's directional view on TXXD etf.

TXXD butterfly setup

The TXXD butterfly below is built from the September 29, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With TXXD at $46.98 on that close, the first option leg uses a $45.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TXXD chain at a 17-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 TXXD shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$45.00	$5.20
Sell 2	Call	$47.00	$4.28
Buy 1	Call	$49.00	$3.45

TXXD butterfly risk and reward

Net Premium / Debit: -$10.00
Max Profit (per contract): $167.89
Max Loss (per contract): -$10.00
Breakeven(s): $45.00, $48.98
Risk / Reward Ratio: 16.789

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.

TXXD butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on TXXD. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	-$10.00
$10.40	-77.9%	-$10.00
$20.78	-55.8%	-$10.00
$31.17	-33.7%	-$10.00
$41.56	-11.5%	-$10.00
$51.94	+10.6%	-$10.00
$62.33	+32.7%	-$10.00
$72.72	+54.8%	-$10.00
$83.10	+76.9%	-$10.00
$93.49	+99.0%	-$10.00

When traders use butterfly on TXXD

Butterflies on TXXD are pinning bets - traders use them when they expect TXXD 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.

TXXD thesis for this butterfly

The market-implied 1-standard-deviation range for TXXD extends from approximately $31.99 on the downside to $61.97 on the upside. A TXXD long call butterfly is a pinning play: it pays maximum at the middle strike if TXXD 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, TXXD options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TXXD-specific events.

TXXD 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. TXXD positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TXXD alongside the broader basket even when TXXD-specific fundamentals are unchanged. Always rebuild the position from current TXXD chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on TXXD?: A butterfly on TXXD is the butterfly strategy applied to TXXD (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 TXXD etf at $46.98 on the September 29, 2026 close, the strikes shown on this page are snapped to the nearest listed TXXD chain strike and the premiums come straight from that session's bid/ask midpoint.
How are TXXD 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 TXXD butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 111.30%), the computed maximum profit is $167.89 per contract and the computed maximum loss is -$10.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a TXXD butterfly?: The breakeven for the TXXD butterfly priced on this page is roughly $45.00 and $48.98 at expiration, derived from the September 29, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The TXXD market-implied 1-standard-deviation expected move in the same options snapshot is approximately 31.91%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on TXXD?: Butterflies on TXXD are pinning bets - traders use them when they expect TXXD 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 TXXD implied volatility affect this butterfly?: Current TXXD ATM IV is 111.30%; IV rank context is unavailable in the current snapshot.