An option is a #contract giving the investor the right, but not the obligation, to buy or sell an underlying asset at a specific price on a certain time period. Investors must pay a premium to get the contract.
Call options are right to buy an asset at the strike price and specific time period. If buyers think that the price will go up, they buy call options. Conversely, put options are right to sell an asset.
Buyers can be profitable if the current price in the money (ITM), for call options will be above the strike price and put is below the strike price. Out of the Money (OTM) means the contract is worthless.
However, ITM also doesn't mean all profit as the cost of premium and transaction fee should be considered. In this example, Lana is in ITM but she is not reaching breakeven and suffered a loss.
In OTM conditions, the loss is expected as the contract is deemed worthless but the maximum loss will be the amount of premium paid if it is not exercised.
There are also covered and naked options, however in cryptocurrency options contracts come in the form of covered options as they are collateralized by crypto assets.
There is also a difference in settlement style, the European style exercises the contract ONLY at the end of expiration date meanwhile the American style could exercise it anytime during the contract period.
Options contract will make your strategy more diverse, as it has the potential to reap large benefits at a fraction of the price. Some also strategically deploy the options to hedge their assets in volatile markets.
DOVs are one of the core products in DO protocols. Assets provided are locked up in the vault and will be managed by protocol into automated options strategies.
DOVs rely on the trading volatility and the yield generated is organic and sustainable. It is a breakthrough for DeFi as it not dependent on the distributions/ token inflations.
Disappointed with airdrops and points? Raise your hand!
Many of us feel duped by the paltry amounts we get after completing tons of tedious tasks.
But what if you could flip the script and profit?
You're in for a treat👇🏻
►Points and Airdrop Meta is Here to Stay, But...
Points and airdrops have become the new norm.
They reward early adopters and drive platform growth by incentivizing key activities.
However, these points often leave stakeholders frustrated, impacting everyone from users to project developers.
Is there any better way to solve this?
Yes, it is. It's called points tokenization.
► Points Tokenization
Several solutions, such as points secondary markets, already exist, but they come with limitations:
- Platforms require extra collateral and cap buyer payouts.
- Fixed-rate protocols block point resales, creating liquidity headaches for sellers.
- Some markets restrict individual point trading, stifling user flexibility.
And @RumpelLabs' points tokenization sweeps these issues away for good.
Meet Eli, a native in the world of crypto and also working as digital nomad.
And he has one big problem: he can't spend his magic internet money in real life.
So, what's the solution?
(Spoiler: Massive perks and incentives await)
Let's dive in to find out 🧵
1/ Beyond philosophical reasons, tangible hurdles keep crypto users steering clear of traditional finance:
- Security and privacy concerns
- Asset control and custody
- Crypto-to-fiat conversion friction and restrictions
- Excessive fees and delays
- Limited global reach
These issues are prompting Eli and countless others to rethink cashing out their crypto for everyday use.
2/ Now, imagine spending your crypto in the real world just like cash.
@Godefi_me makes it happen:
✦ A non-custodial, worldwide debit card
✦ Seamlessly connects to your crypto wallet (starting with @solana, more chains to come)
✦ In partnership with @Mastercard, shop with 3 million+ merchants across the globe
✦ Works with mobile pay options like Apple Pay and Google Pay
✦ Earn direct rewards when using the card
All you need to know about @SonicLabs and its ecosystem.
Covering tech, bridging, the ecosystem, and maximize your $S airdrop.
A no-nonsense guide. 🧵
► What in The World is @SonicLabs?
From the outside, Sonic appears to be a high-performance EVM Layer 1 Blockchain.
However, it's not just about impressive technology; it also offers sustainable incentives, creating a thriving ecosystem that rewards its users and builders.
That said, Sonic's tech is indeed impressive:
✦ 10,000 transactions/sec
✦ Finality in <1 second
✦ <$0.01 fees per txs
✦ User incentives: Total 200M $S for whitelisted assets
✦ Fee Monetization: developers earn 90% of app gas fees
► Sonic Traction (Data per Feburary 26, 2025)
✦ With that said, Sonic TVL grow by ~3500% since start of the year (currently at ~$670M at the time of writing)
✦ 30.7M+ total transactions
✦ 70.3k+ contracts deployed
✦ 847k+ unique address
✦ 461k+ $S FeeM distributed
✦ Total of $150M+ bridged from DeBridge alone
And it seems like it's just the beginning for Sonic so far.
RWA is set to transform global finance with unmatched speed.
At the upcoming Ondo Finance Summit, major players from Traditional Finance and DeFi will outline the future of RWA.
This is the pivotal event that will redefine the world.
Don't miss out.
Let's dive in 🧵
► Join Ondo Summit Now
Before we move on, mark your calendars and attend the Ondo Summit happening on February 6th.
The event features top-tier speakers from both TradFi and DeFi, including @BlackRock, @WisdomTreeFunds, @PanteraCapital, @fidelity, @ripple, @CarolineDPham, @FTI_US, and others!
Set your notifications for the live stream below ⬇️
► But Why RWA and Ondo?
We're already witnessing the revolution initiated by RWA.
According to @RWA_xyz, tokenized RWA on-chain has seen substantial growth:
→ Over $16 billion in total RWA assets on-chain
→ More than 82,000 total holders
→ Private credit and U.S. treasuries are the leading asset classes, valued at over $11.5 billion and $3.5 billion, respectively
These figures are expected to multiply significantly, potentially exceeding $10 trillion by the end of this decade or even more!
And @OndoFinance is at the epicenter of this new era.