Bybit Exchange, a platform for trading cryptocurrrency, has launched their comprehensive options trading guide to the public. “Expand Your Options” is a how-to manual for trading Bybit’s initial USDC-margined options contracts. Furthermore, Bybit’s analysts will function as guides for both beginner and seasoned options traders. This will be helpful as they explore the platform’s new BTC, ETH, and SOL options contracts.
Options trading the Bybit way
Some of the most active trading in established markets occurs in the options arena. To better serve its 10 million-strong user base, Bybit has decided to make these products available to retail investors. Bybit aims to become the world’s crypto ark, and part of that involves creating products that are both accessible and informative.
The eight chapters in the new options guide are broken down into beginner, intermediate, and advanced levels. It also demonstrates how derivatives traders can use options in innovative ways as a means of risk management. The covered call and other elementary options strategies are discussed in Part 3, while more complex plays like the straddle and the strangle are elaborated upon in Part 4. Also, the guide covers option spreads in detail, as well as how to implement this technique for maximum profit.
Bybit co-founder and CEO Ben Zhou says:
“Our team of experts has created this ultimate guide to trading options, which covers everything from beginner to advanced strategies. We are now a crypto ‘super app’ that serves all crypto participants; anything our customers need in crypto, we will offer.”
The margin requirements in Bybit’s options system are risk-based and proportional to the whole portfolio’s exposure to risk. It improves the effectiveness of investment capital by reinvesting the gains from winning trades into the portfolio to cover the costs of losing trades. These options settlement is in cash, following the European style. Traders can exercise them only at the end of the contract’s term.