How Does a DAO Treasury Use a ‘Rolling’ Strategy for Covered Calls?
Rolling a covered call means closing the existing option position and opening a new one, usually with a different strike price or expiration date. A DAO might roll 'up and out' (higher strike, later expiration) to lock in a profit and give the token more room to appreciate, or roll 'down and out' to generate more premium if the price has dropped.
This strategy actively manages the yield and risk profile.
Glossar
Dao Treasury
Control ⎊ Dao Treasury refers to the pool of assets, often composed of protocol fees, native tokens, or various cryptocurrencies, managed collectively by the decentralized autonomous organization through on-chain voting.
DAO Treasury Use
Allocation ⎊ DAO Treasury Use represents the strategic deployment of capital held by a decentralized autonomous organization, functioning as a core mechanism for protocol development and ecosystem growth.