Option Markets & Strategies

Available Option Markets can be found at app.sdx.markets/trade. Select the desired market you want to trade by clicking on the appropriate row and strategy. Currently SDX supports four different option structures, Calls, Puts, Calls Spreads and Put Spreads.

Call Markets

Calls provide the option to a user to buy assets at an agreed price at expiration. In SDX calls are priced in the underlying market, i.e. BTC Calls are priced in BTC. Users need to have appropriate underlying assets in their trading account to buy calls in the matching markets.

Users who wish to sell Calls can do so by having the required underlying as collateral in their trading account. Selling Calls in SDX requires full collateralization of position.

For greater capital efficiency when selling calls, see Call Spreads.

Put Markets

Puts provide the option to a user to sell assets at an agreed price at expiration. In SDX, puts are priced in USDC. To buy puts, users need to have the appropriate amount of USDC in their trading account.

Users who wish to sell Puts can do so by having the required underlying assets as collateral in their trading account. Selling Puts in SDX requires full collateralization of the position.

For greater capital efficiency when selling puts, see Put Spreads.

Call Spread Markets

Call spreads involve purchasing one call option while simultaneously selling another at a higher strike price. On SDX call spreads are displayed in packaged structures for easy trading. Users buying call spreads can benefit from price or IV movements without committing as much capital upfront.

When selling call spreads on SDX, the collateral required is reduced based on the spread between the long and short option legs. This offers traders increased capital efficiency.

Detailed information about the available strategies and required collateral for any spread position can be found in the trading side panel.

Put Spread Markets

Put spreads involve purchasing one put option while simultaneously selling another at a higher strike price. On SDX, put spreads are displayed in packaged structures for easy trading. Users buying put spreads can benefit from price or IV movements without committing as much USDC upfront.

When selling put spreads on SDX, the USDC collateral required is reduced based on the spread between the long and short option legs. This offers traders increased capital efficiency.

Detailed information about the available spread strategies and collateral required for any spread position can be found in the trading side panel.