You collect a USD premium at time of trade. You are obligated to sell bitcoin at the strike price if you're assigned.
- Click the Bid Price
- Enter # of Contracts & Price
- Click Sell to confirm your order & lock BTC collateral
- Confirm Sell Order & Receive USD Premium
Contracts: the number of contracts you want to sell. Minimum quantity = 1.
If the long holder exercises their option on the expiration date, you will be selling 0.01 BTC at the strike price for each contract.
Price: the price you receive for the call option. Options prices are quoted in terms of 1 bitcoin.
Underlying: the amount of BTC you may be selling at expiration
Premium: the total dollar amount you receive at time of trade
Break Even = strike price + premium
Max Loss = unlimited
Max Gain = premium