Selling volatility with BCHBull

If you have a basic understanding of how to use BCHBUll and an interest in some income, read on.

Though there's currently(maybe in the future u/GeneralProtocols?) no way of suggesting a contract spread on BCHBull, you can leg into a one quickly enough.

If you're of the mind that short term volatility premium will remain higher than long term, you can use Hedge contracts to sell shorter term volatility and buy longer term Long contracts to maintain the value of your BCH position while making income.

Sell 1.2 BCH worth of a 3 day Hedge contract against USD for -0.0059 BCH Buy 1 BCH worth of a 1.2X 90 day Long contract against USD for 0.0158 BCH 

Now, do the math.

0.0158 / 0.0059 = 2.68 

All you have to do is find ~2 more occurrences of Hedge offers of similar value during the remaining 87 days you have left on the Long contract.

However, this again relies on short term volatility being more premium-heavy over those 87 days.

Hope income-focused investors find this useful.