What You Need To Know About CONY's Outrageous 56% Dividend Yield

"YieldMax COIN Option Income Strategy ETF (NYSE:CONY) generates high-yield distributions through an options strategy on Coinbase Global (NASDAQ:COIN) stock. The fund sells call options on COIN shares to collect premiums, funding weekly dividends. With CONY at $39.35 and recent weekly dividends ranging from $0.06 to $1.13, the annualized yield approaches 56%. This extraordinary yield comes with significant sustainability questions tied to Coinbase's volatility and the fund's complex options strategy."

"CONY's income depends on option premium collection from Coinbase stock volatility. The ETF holds long and short option positions, with largest holdings including COIN call options at $390 and $310 strikes expiring December 2025, alongside Treasury bills. The fund maintains short put positions representing 23.3% of its portfolio at a $390 strike. With COIN at $226.14, these positions are deeply underwater, creating substantial risk."

"Dividend history reveals extreme variability. In April 2024, CONY paid $2.79 per share when Coinbase traded near its 52-week high of $444.64. By November 2025, as COIN fell 49% from that peak, weekly dividends shrank to $0.06. December 2025 saw modest recovery with payments averaging $0.50 weekly, but this remains 82% below peak levels. The fund executed a 1-for-10 reverse split in December 2025, signaling management concern about depressed share price."

YieldMax COIN Option Income Strategy ETF (CONY) generates income primarily by selling call options on Coinbase Global (COIN) shares and holding a mix of long and short option positions plus Treasury bills. The fund collected rich premiums when Coinbase was volatile, producing weekly dividends that annualize near 56% at recent levels. Portfolio concentration includes COIN calls at $390 and $310 strikes and short puts representing 23.3% of assets at a $390 strike, creating large downside exposure with COIN trading far below those strikes. Dividend payments have been highly variable, and a 1-for-10 reverse split in December 2025 reflected management concern about the depressed share price and payout sustainability.

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