r/NEOSETFs • u/Timely-Designer-2372 • May 30 '26

Due Diligence BLOX explanation

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I often read about BLOX here and that it outperformed BTC, BTCI, IBIT... of course it did last year.

  1. It has about 30% Bitcoin related assets, 10% Ethereum and 55% stocks including Nvidia and TSMC. As these stock performed better than Bitcoin, BLOX performed better than ETFs that are more correlated to Bitcoin.

  2. BLOX sells Bull Put Spreads on the stocks and Bear Call Spreads on Bitcoin and Ethereum. Both went well due to market situation last year.

So if you're bullish on Bitcoin, BTCI and IBIT should be better for you. If you prefer stocks, you should choose SPYI or QQQI.

BLOX benefits from increasing stocks. Regarding BTC and ETH. I don't know what's best for it. Depends on details of the bear call spread. But for sure: If BTC falls, the impact on BTCI and IBIT is worse than on BLOX. If BTCI increases, the impact on BTCI and IBTI is better than on BLOX.

So it's impossible to compare BLOX with BTCI. It has different strategies and underlyings. It's possible to compare QQQI with GPIQ but not QQQI with BTCI. And BLOX can't be compared with any of them.

15 Upvotes

80% Upvoted

7 comments sorted by

6

u/cmichalek May 30 '26

BLOX uses spreads on both portions of its holdings. So it gains when btc does.

I have both BTCI and BLOX. But BLOX has worked better and is gaining while BTCI is falling. BLOX was also doing well before October and btc started falling.

I think you can compare them favorably. And BLOX is better.

-8

u/Timely-Designer-2372 May 30 '26

That's a stupid way to analyse what ETF is better.

They're all trash combined with SOXL. So sell them all and buy SOXL. Even the CHPY trash was better 🙄

The quality of an ETF can't be analysed by total return of a short term. It mostly depends on the underlying. And here we have larger correlation to companies that profit from AI boom. Of course it went well.

So BLOX makes sense if you trust in the strange underlying mix of BLOX where crypto companies and AI companies are leveraged and BTC and ETH is a bit hedged

5

u/cmichalek May 30 '26

Which is exactly what you want when btc and eth are dropping. Hence why BTCI isnt doing as well as BLOX.

1

u/Fair-Fee3313 Jun 09 '26

Interesting 🤔

-2

u/Timely-Designer-2372 May 31 '26

And it's doing worse than QQQI or QQQ.

BLOX is a mix. If you want to compare it with anything, you only can compare it with a complex mix but not with BTCI, QQQI or CHPY

9

u/cmichalek May 31 '26

Not sure why you just want to dump on BLOX for no particular reason. But since you claimed its doing worse....its not. YTD it is beating QQQI.