Machina Capitalis: Funding Freedom Through Options - Your Own Money Machine
Building your own income machine without employees, overheads or advertising which you can run from anywhere in the world.
*An update version of the article which first appeared in The Royalty King in August of 2025 and sparked the demand to share the secrets of Machina Capitalis, giving birth to this publication
You asked for more of this - so here it is.
Today’s piece is an intro to an entire segment I’m building dedicated to building and scaling a digital income stream through publicly traded stocks + options.
Many of you have followed my adventures for a while now - which were mainly covered in my old publication - The Maverick Life and it seems you fancy building a Maverick life of your own, or at least an extra income stream in today’s economic environment.
Update: The Maverick Life is fun for a certain stage of life, but it gets old after a while. The concept of identity aligning with purpose is the key to a meaningful life, ergo I named the publication Machina Capitalis with the focus dedicated to building the machine - what you do with the money is up to you.
Now that’s all totally fine except I have to say that the Maverick life isn’t all it’s made out to be by the, quite frankly insufferable fugazis on X who boast about how great their lifestyle is whilst being unable to pay their internet bill in a $500 per month 1 Bedroom apartment..anyway I digress..
Those who followed me back then know to whom I’m referring. This publication is deliberately and exclusively for elite investors and high quality people.
The focus in this segment is on building an income engine designed to generate consistent cash flow, protect downside, and still leave upside potential intact.
Think of it like building an engine – it needs all the cylinders firing in harmony. In this section of the publication I’ll be showing you the cylinders of this options income engine and the philosophy that makes it work. These are free to learn, and you can apply some ideas right away. The application of the techniques will be for premium members.
Philosophy & Foundations
I started my journey using options during the COVID era. I had just sold my first real business and was suffering the lockdowns in Victoria, Australia.
There’s nothing like being isolated to make you want to travel and nothing like having your freedom ‘revoked’ to make you realise the importance of diversification geographically, politically and financially.
Or as the great Doug Casey would say:
“Have your assets in one country, your citizenship in another, and your ass in a third. That way no one government has too much control over your life.”
I went down the rabbit-hole of becoming a truly sovereign individual - I began the process of obtaining multiple citizenships and residencies, opened global brokerage accounts and payment carriers, bank accounts etc. Therefore I speak from a place of actual experience - please be careful listening to the spruikers out there, they may have a large following as a result of selling controversy and hopium but I caution being very selective about who you may choose to do business with.
In this group you’ll gain access to my trusted sphere of contacts in this space
I sold down my Australian real estate portfolio and began to move my capital into more liquid, public markets - keeping my capital-light business interests, yet remaining nimble enough to move at a moments notice if needed.
The final piece of the puzzle was always building an income source that had no geographic ties - one I could scale and take with me wherever and whenever I want.
This is where options made the most sense for me.
I thought about doing the whole e-commerce thing, but I never liked the management side of running my own business, I always preferred the creative aspects of entrepreneurship.
Selling options for me is about building a digital source of income that I control. Not so much about speculations with large payoffs - although they can be used for that also. This is an income stream that, if you’re good, you can run from anywhere with an internet connection, without employees, inventory, or overhead.
It’s flexible—you can trade more when you want to increase income or scale back when life gets busy. It can fit alongside your existing job, business, or travel schedule, making it perfect for anyone who values freedom and autonomy. Whether you want to work from home, a beach café, or on a mini-retirement adventure, options income can give you control over both time and cash flow.
However, I never said this was easy - especially if you try to go it alone. There’s a learning curve to it, just like anything else in life.
Why I Like Options for Income
Digital & Portable – Can be done from anywhere with an internet connection.
No Employees or Overhead – No staff to manage, no office, no physical inventory.
Flexible Workload – Trade more when you want higher income or scale back when life gets busy.
Pairs With Other Income Sources – Works alongside a job, business, or investments.
Scalable – Start small and grow as you build confidence and capital.
Mini-Retirement Friendly – The system allows for travel and time off without shutting down your income stream.
Leverage - I can gain100x leverage and pre-define the risk before entering into a trade. No debt nor interest applicable.
Income Vs Long Term Compounding
I like seperate my portfolios according to their purpose and respective goals.
I have a long term wealth portfolio for my favourite capital light compounders which you’ll read about in the The Royalty King king They’re mainly Royalties or similar type business models - I’m always raving about their superiority and hence that earned me my nickname ‘ The Royalty King’.
Generating income through options and selective short selling requires a different mindset - one that you’ll learn here. This is an operating company, a business that makes sales and purchases with the purpose of profits.
The main approaches I use:
The Insurance model: Think like the house, not the gambler. Selling options contracts that have a statistical advantage to win 80-95% of the time receiving cash income upfront. Once the contract period is over, the cash is mine to keep.
The Renting/capital re-cycle model: Recycling capital by buying or controlling stock and then “renting” it for yield. This can turn a portfolio into a monthly pay check machine. I’ll be going into detail with this and providing real-life example trades to premium members to help it sink in.
The Asymmetric Payoff: Buying select options with cheap volatility with an eye towards massive payouts. Like Thales of Miletus.
Short-selling Path dependent ETFS - stocks that are mathematically guaranteed to decay towards $0. I use various methods of short-selling to receive a bundle of cash upfront, then sit back and watch my profits rise while the underlying asset declines in price.
The Inner Workings Of The Machine
The Covered Call
You own stock. You sell a call option against it. Simple, reliable, and pays you cash every month while you wait. If the stock trades flat or rises slowly, you win twice: dividends + option premium.
Eg: This ATM Covered call I sold on RIG in Feb of ‘23 whilst celebrating Carnival in Bocas Del Toro, Panamá.
Capital: $6,630 Premium sold: $370
ROI: 5.59% in <4 days!!
Cylinder 2: The Cash-Secured Put
Instead of waiting for a dip to buy a stock, you get paid to wait. You sell a put option at the price you want to own it, and if the stock drops, you own it cheaper. If not, you keep the premium. Like in this example where I made $4,080 using just $43,920 capital in 40 days selling puts on RIG 4.10%↑.
You own a dividend stock, sell a call for income, and buy a cheap out-of-the-money put for protection. Think of it as generating yield while building a floor under your portfolio. (Video here)
Cylinder 4: The Poor Man’s Covered Call
For when you don’t have the capital for a classic covered call. Instead of tying up tens or hundreds of thousands of dollars, you use a long-dated call (LEAP) as your stock replacement, then sell short-term calls against it. This frees up capital for other opportunities while still generating monthly income. The return on capital can be insane!
Cylinder 5: Dividends + Yield Boosters.
This cylinder uses quality, dividend-paying companies – think pipelines, royalties, midstreams, and utilities. These stocks already generate a natural yield. The options strategy is simply the turbocharger. You’re long the stock (or a synthetic stock position like a PMCC) and you sell an out-of-the-money call and an out-of-the-money put at the same time. It’s like running a covered call and a cash-secured put together, pulling in premium from both sides plus enjoying the dividend.
Cylinder 6: Credit Spreads
A defined-risk, stat-arb income play. Instead of selling a naked call or put, you pair it with another option further out of the money, capping your risk. You still collect premium, but your downside is locked in from the start. Perfect when you want that sweet premium income without the “blow up” risk that naked options can carry.
This is just the blueprint.
These are the parts, but the real magic is learning how to assemble them into one coherent income machine.
Cylinder 7: Butterfly
A precision income tool for tightly ranged assets like bond or gold ETFS. You sell two options at the same strike and buy one option above and one option below. It’s cheap to put on, has defined risk, and can deliver a great return if the stock pins near your middle strike at expiry. Perfect when you expect a stock to stay in a price range and you want to get paid.
Cylinder 8: Iron Condor
The neutral, balanced cashflow machine. You sell an out-of-the-money call spread and an out-of-the-money put spread at the same time, creating a range where you keep the full premium as long as the stock stays in your lane. Your risk and reward are both capped, but often can provide an expected profit 90% of the time.
Past performance is not indicative of future results. All investing involves risk, including the potential loss of principal. There is no guarantee that any investment strategy, including those discussed here, will achieve its objectives or generate profits. You should carefully consider your investment objectives, risk tolerance, and financial situation before making any investment decisions.
This is just the blueprint.
These are the parts, but the real magic is learning how to operate the machine.
Generating Location-Independent Income to Live:
Where you want
When you want
With whom you want
Doing what you want
If this speaks to you and you meet the requirements listed in the terms and conditions page, considering applying to be a part of the group.