Flynt Launches Industry’s Highest Yielding Bitcoin Product – Bitcoin Planet Press Release
PRESS RELEASE. Flynt Finance, the Singapore-based cryptocurrency financial services firm co-founded by former derivatives exchange traders and analysts, launched a platform for crypto structured products last week. The relatively high yields (up to 50% APY) on Flynt have generated strong interest from crypto yield enthusiasts, especially during the bear market when volatility is harder to come by.
Cryptocurrency markets are often seen as the go-to place for high-risk high returns due to price volatility. Risk management for these assets can be complex, especially for those without a financial background.
A popular means of hedging is to use options by taking positions opposite to the current asset holding. For example, holding bitcoin spot and buying a put option when you expect the price to fall. Although still a nascent area compared to perpetual futures, crypto options are a great way to hedge your volatile positions during both hash periods and strong trends.
There are also various structured products that offer a return with combined strategies of options, loans and futures. One of the simplest and most popular structured products is the covered call strategy or a cash covered sell strategy. Even the legendary Warren Buffet used it to earn bonuses on Coca-Cola stock.
Since 2021, there has been a rush to offer covered call strategies on various cryptocurrencies for yield-hungry crypto investors. These strategies have grown rapidly since their inception and have held up surprisingly well during the recent recession.
After rigorous research and backtesting of various strategies, the Flynt team decided to launch their own structured products strategy, the “BTC Covered Call Strategy x5″. This strategy sells call options on a weekly basis and reinvests the premium earned in the following week. Based on Deribit’s full 3-year trading data set (a flat -form of leading cryptocurrency options), the team has derived a proprietary strike price selection algorithm that maximizes returns and minimizes risk of loss.A key differentiator of Flynt’s product is its use Flynt uses up to 5x leverage on its strategies to both increase returns and reduce risk of loss by selecting an alternate OTM strike price. backtestingthis resulted in an average APR of 47% (including losses) compared to the industry average of around 15% (not including losses).
David Seo, CEO of Flynt Finance, mentions that “For most people, an unleveraged covered call strategy should be fine, but for those who want to take on more risk for higher returns, they should definitely give Flynt a try. Through Flynt, we aim to provide access to crypto investment strategies for a variety of risk profiles.
About Flynt Finance and the team
Flynt financing is a one-stop-shop asset management platform that provides structured cryptocurrency products. The team is comprised of blockchain OGs who have experience providing a wide range of services including cryptocurrency exchanges, blockchain protocols, and dApps together since 2015. Flynt CEO, David Seo was the COO of a major South Korean exchange, and Victor Park, the CTO has built robust stock and cryptocurrency trading platforms over the past 20 years. Other core members have extensive experience in various fields, including financial big data modeling, asset custodial services, derivatives trading and structured products trading.
The Flynt team launched the new initiative with a bold mission to provide financial freedom to everyone, regardless of geography, technology and privilege.
To ensure transparent communication to clients on how deposited funds are used, each strategy executed by the team can be found in detail on the Flynt website.
Currently providing Bitcoin covered call strategies that generate up to 50% APY, Flynt plans to continue to meet the evolving needs of the crypto investor through innovative products.
This is a press release. Readers should exercise due diligence before taking any action related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.
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