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Bitcoin options require margin

Publish: 2021-04-16 13:19:26
1. In the transaction of option contract, the buyer only needs to pay the equity, but does not need to pay the margin, while the seller requires to pay the margin
2. In the transaction of option contract, the buyer only needs to pay the equity, but does not need to pay the margin, while the seller requires to pay the margin.
3. bitcoin contract is futures, futures and options are essentially a derivative of bitcoin, but also spot hedging tools! But generally speaking, options are better than futures. We can compare them according to several points
first of all, if the current price of bitcoin is $8000, when bitcoin rises from $8000 to $8500
1. Buy up spot and earn $500
2. Buy up options and earn $500
3. How can futures earn $500
for example, you can earn $500 only by using $500 principal, opening 20 times leverage and increasing by 5%
with the same return, we find that the principal of option investment is the lowest, and the risk is also the lowest< In my opinion, the BTC option launched by bitoffer will have great advantages, such as no margin and no handling charge.
4. There are four common trading forms of bitcoin: spot, futures, options, ETF

1, spot trading
spot trading and stock trading are almost the same, buy low and sell high, earn the middle price difference! However, bitcoin is a T + 0 mode, trading anytime and anywhere, and there are no opening, closing, suspension and many other restrictions. It is open to trading 365 days a year

2. Futures trading is often referred to as contract trading. I believe most people can't resist the temptation of contracts. Contracts can be long and short, and can also be leveraged. The maximum support is 100 times, which indirectly magnifies the benefits and risks by 100 times, because human nature is inherently greedy. However, the difficulty coefficient of making money in the contract is high. Because bitcoin fluctuates greatly, it is possible to burst the position in an instant. Therefore, futures trading should be cautious

3. Option trading
the nature of option trading is the same as that of spot trading, i.e. expected call to buy up, expected put to buy down
since the nature of options and spot is the same, what is the difference between them? Simple comparison:
for example, bitoffer, the first bitcoin option in the world, has no margin, no handling charge and no exercise

(the only option in the world that doesn't need to exercise)

1. For spot, it costs US $7500 to buy a bitcoin
2. For option, it costs US $5 to buy a bitcoin option

when bitcoin rises from 7500 to US $8000, the spot earns us $500 and the option earns us $500
the benefits of the two are the same, but the cost difference is 1500 times
this is the case with options, which is the same as the spot calculation of profit space, except that you don't need to pay the full amount, just need to pay a little deposit Different from the traditional European options)

4. ETF fund trading
ETF is usually called trading open-end index fund, which is a very popular financial derivative in the traditional financial market. Bitoffer's launch of bitcoin ETF fund increases the fixed leverage on the original basis, because there are a certain number of futures contract positions behind the proct
What's the difference between bitcoin ETF and spot< In this year's bitcoin proction rection, in theory, X2
2. Mining machinery needs to be upgraded, in theory, X2
3. The current price of bitcoin is 7500x4 = US $30000 (expected price after next year's proction rection)

ring this period, the return comparison between holding spot money and ETF fund is as follows:
1, Up to 15 times (compound interest calculation)
there is no doubt that bitcoin ETF is the best investment choice!
5.

I don't think digital currency will have any impact on my life at this stage, but it will have a greater impact on my life in the future

01, 200 yuan digital currency is coming, which has little impact on daily life at this stage< p> With the advent of the Internet era, online payment has become the mainstream means of payment, and people use less and less cash. on October 12, 50000 people were selected from a district of Shenzhen to issue 200 yuan of digital currency to them, and then they were asked to test the effect of digital currency

this matter soon aroused the National hot debate. Many people may not know what the digital currency is. digital currency is not a paper currency, it can be regarded as a of electronic currency. Generally, electronic money is bank card, transportation card, or we often use WeChat payment or Alipay payment. p>


the most important thing is that the central bank can find out who the other party is through information such as transfer, and the digital currency transaction can not be rejected by businesses , which is equal to cash. If the digital currency is fully used, then the era of cash may end and people's life will be more convenient

6. The so-called option is to predict the future rise and fall. It is not difficult to understand, but it has obvious advantages over futures contracts. For example, the price of bitcoin futures contract fluctuates a lot. If you can't control it well, you will burst every minute, and you need margin and handling charges. Most options in the circle choose to go to the okex exchange. You can learn about it. Thank you for adopting and approving my reply
7.

The so-called option is to predict the future rise and fall. It is not difficult to understand, but it has obvious advantages over futures contracts. For example, the price of bitcoin futures contract fluctuates a lot. If you can't control it well, you will burst every minute, and you need margin and handling charges

but bitcoin options are totally different, just like bitcoin options in bitofer, which have neither margin nor service charge, let alone burst positions, and simply predict the rise and fall. The time cycle is diversified, including 2 minutes, 5 minutes, 15 minutes, 1 hour and 1 day. You can play at any time. You can make full use of the fragmented time and have higher flexibility. If you don't keep a real-time eye on the contract, it's easy to blow up the position if you are careless

The last is return. Sometimes options are much higher than contracts. Why do you say that? The contract basically depends on leverage. If you have a very low leverage ratio, it will have no effect. For example, if the current price of bitcoin is 10000 points, you think it will fall in the next five minutes. Therefore, you open a five minute put option and consume five usdts

as expected, bitcoin has dropped 500 points in 5 minutes. After 5 minutes settlement, you get 500 usdts, which is equivalent to 100 times leverage return compared with the principal. This is that we think that the bitbuffer option is more in line with the current trend, and it is expected to go online in mid October

8. Blockchain has no options. It is a decentralized distributed ledger database. He is an account book, which can't be changed and imitated. There is no third party, only technology
9. Digital currency contract is the deformation of traditional futures contract. The unified risk includes the need for margin and the risk of position explosion. Moreover, the digital currency contract is worse than the traditional futures in that it can not be delivered in kind, which means that once it goes in the opposite direction of placing an order and breaks the minimum margin ratio, it must be forced to close the position. There is no other way to increase the risk. At present, some exchanges, such as bitoffer, have launched bitcoin option procts, which can amplify profits without the risk of position explosion.
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