How to Place an Options Trade on LedgerX

Placing a Trade

How to place an options trade on LedgerX

  1. Select the option you want to trade on the options chain
  2. Enter the Quantity/ # of contracts
  3. Review or Edit the Price. The Ask Price is the amount sellers are willing to receive for an options contract.The Bid price is the amount buyers are willing to pay for an options contract. 
  4. Click Buy or Sell to confirm your order
  5. Review 
  6. Confirm Order

Trading Options on LedgerX 

1 Mini contract = 1/100 BTC or 0.01 BTC   |  1 Deci contract = 1/10 ETH or 0.1 ETH

In traditional equity options, 1 contract represents 100 shares. LedgerX options do not use a multiplier. 1 contract on LedgerX is equivalent to 0.01 BTC or 0.1 ETH - no multiplier. If you buy 1 call option, you are paying for the right to buy 0.01 BTC/ 0.1 ETH at the strike price on the expiration date.

Further, if you are buying 37 call options (0.37 BTC), you are paying for the right to buy 0.37 BTC at the strike price on the expiration date.

How much BTC does 1 mini options contract represent?

1 mini contract = 0.01 BTC, 100 contracts = 1 BTC

How much ETH does 1 deci options contract represent?

1 deci contract = 0.1 ETH, 10 contracts = 1 ETH

Buying Options

When you buy an option, you will pay the seller the $ premium at time of trade. You need dollars in your account to purchase options. See Fund Your Account.

Buying a call

you are paying for the option to buy bitcoin at the strike price on the expiration date. See Buy Call Options to learn how to buy calls on LedgerX.

You are paying for the right to buy bitcoin at the strike price on the expiration date.

Buying a put
You are paying for the option to sell bitcoin at the strike price on the expiration date. See Buy Put Options to learn how to buy puts on LedgerX. 
 

Selling Options

To sell a call, you need to deposit BTC/ETH. To sell a put, you need to deposit the strike price in dollars. See Fund Your Account

100 Mini Contracts = 1 BTC; 10 Deci Contracts = 1 ETH

Selling a call

When you sell a call, you collect a premium at the time of trade; you are obligated to sell bitcoin at the strike price if you're assigned. See Sell Call Options to learn how to sell calls on LedgerX. 

Selling a put
When you sell a put, you collect a premium at the time of trade; you are obligated to buy bitcoin at the strike price if you’re assigned. See Sell Put Options to learn how to sell puts on LedgerX. 
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