🎢Products

Overview

Rysk enables users to earn upfront yield from volatility through two products: Covered Calls and Cash-Secured Puts. Both allow users to define a price where they are comfortable selling higher or buying lower and receive the premium instantly.

Covered Calls: Get Paid to Sell Higher

Covered calls let users earn yield while setting a target price to sell their assets. The position represents holding the underlying asset and selling a call option against it, creating a short call exposure backed by full collateral.

Example: If ETH is at $3,500 and the user is comfortable selling at $4,000 in one month, they can sell a covered call at that level and receive an upfront premium immediately in USD.

At expiry:

• If ETH stays below $4,000, the user keeps the ETH and the premium.

• If ETH rises above $4,000, the user receives $4,000 per ETH and keeps the premium.

Covered calls are suited for users who already hold an asset and want to generate yield while being willing to sell at a higher price.

Summary: Get paid today to sell higher later

Trade-off: If the asset rallies significantly, it may be sold below the future spot price

Cash-Secured Puts: Get Paid to Buy Lower

Cash-secured puts let users earn yield while setting a target price to buy an asset lower. The position represents selling a put option collateralized by stable assets, creating a short put exposure backed by full collateral.

Example: If ETH is at $3,500 and the user wants to accumulate if it dips to $3,000, they can sell a cash-secured put at that level and receive an upfront premium immediately in USD.

At expiry:

• If ETH stays above $3,000, the user keeps the stable collateral and the premium.

• If ETH falls below $3,000, the user buys ETH at $3,000 and keeps the premium.

Cash-secured puts are ideal for users who want to earn yield while waiting to buy assets at cheaper levels.

💡 Summary: Get paid today to buy cheaper later.

⚖️ Trade-off: If the asset falls sharply, it may be purchased above the future market price.

Use Cases

1. Earn While Managing Buy or Sell Targets

• Covered Calls: Earn yield while setting take-profit levels on assets already held.

• Cash-Secured Puts: Earn yield while setting buy-the-dip levels to accumulate assets at lower prices.

This approach suits users who already know their desired entry or exit levels and want to generate income while waiting for the market to reach them.

2. Earn Through Market Speculation Users can also sell covered calls or cash-secured puts purely to collect premiums, expecting the market to remain within a certain range until expiry.

• Selling covered calls expresses a view that prices will stay below the strike.

• Selling cash-secured puts expresses a view that prices will stay above the strike.

If the price does not reach the strike at expiry, the position expires unexercised, and the user keeps both the collateral and the entire premium as profit.