From f2eda18e244aec425b72210a9d3ddd6ce96e1ba8 Mon Sep 17 00:00:00 2001
From: apo77yon <126520850+apo77yon@users.noreply.github.com>
Date: Wed, 22 Mar 2023 18:31:50 -0700
Subject: [PATCH] Update options.md
---
MEV_and_trading/derivatives/options.md | 7 +++++++
1 file changed, 7 insertions(+)
diff --git a/MEV_and_trading/derivatives/options.md b/MEV_and_trading/derivatives/options.md
index 77a9252..dcc8df9 100644
--- a/MEV_and_trading/derivatives/options.md
+++ b/MEV_and_trading/derivatives/options.md
@@ -9,6 +9,13 @@
* options can be thought of as "insurance-like" contracts where one pays a premium upfront. profits come from "disaster events", with **capped losses** and **unlimited upsides**.
* purchasers of options receive the **right** to buy or sell the underlying asset at a predetermined **strike price**. **option chains** list **calls** (ability to buy the asset) and **puts** (ability to sell the asset) for a given expiration across a variety of **strikes**.
* options also gives leverage by chasing cheaper premiums (e.g. shortening expirations).
+* buy (call) vs. sell (put):
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