Crypto index funds and ETFs offer diversified exposure to digital assets, allowing investors to earn passive income without actively managing portfolios. These financial instruments come in centralized and decentralized options, with ETFs traded on stock exchanges and DeFi-native index tokens accessible via Web3 wallets. Income sources include asset appreciation, staking, DeFi yields, and covered call strategies, depending on the fund's structure. However, it's essential to research the risks involved, such as market volatility, smart contract vulnerabilities, and management fees, before investing. Passive investing in crypto through index funds and ETFs provides exposure to a broad range of digital assets without the need to pick individual winners. These instruments can generate passive income through various means like asset appreciation, staking rewards, DeFi yields, and income distributions. By selecting the right fund, investors can align their investments with their risk tolerance and goals, benefiting from the growth potential of the crypto market while minimizing active management. Read more AI-generated news on: https://app.chaingpt.org/news