Options can be quite complex financial instruments to understand, and this is especially true for decentralized Options. Luckily, the delta.theta team has made options trading easy to understand for beginners and professionals alike.
In this article, we will go over important features of the new delta.theta Options protocol and how it differs from other decentralized Options.
The decentralized Options market is still developing, and there are more and more projects working on new products in this space each day. Some current decentralized Options platforms include Hegic, Opyn, Opiym, and Vega, among others. However, all of these projects have a serious flaw for many investors: they are difficult to understand. This means, it is currently difficult for ordinary investors to test out the world of decentralized Options for themselves.
delta.theta elegantly solves the complicated UI problem. First, for novice traders there is LITE mode. In LITE mode, users can choose options strategies that are easy to implement, like buying the bottom, selling the top, or hedging against a farming or mining position.
For more advanced traders, PRO mode offers a familiar options table with all the necessary data such as strike price, expiry date, Greeks, and the number of buys and sells.
For example, to hedge a farming position for a month and protect it from a drawdown, one can buy 100 Options contracts worth 10 WBNB.
Next, enter the strike price and premium to be paid to the seller.
Strike price — the price at which the buyer can acquire the underlying asset.
Premium — the amount of money paid by the buyer to the seller for the Options contract.
After providing all the necessary data, a detailed explanations window pops up, highlighting the kind of Options contract you are buying. This easy to understand explanation will outline exactly what is happening in your Options contract.
As you can see from the screenshot above, delta.theta works with order books just like traditional cryptocurrency exchanges, and not with liquidity providers. This approach is designed to protect the protocol from different kinds of attacks.
Other delta.theta features include:
- All Options protocols to be launched on the BSC and Ethereum networks
- American-style options (can be executed at any time prior to the expiration date)
- Option sellers can participate in a liquidity incentive program. Their funds can be sent to protocols such as Venus and Compound, where Options sellers can earn additional income by supplying market liquidity.
delta.theta provides its users with a best-in-class Options trading platform for both beginners and advanced traders alike. Its easy-to-use interface and multi-feature trading platform provides a great user experience for all crypto options traders.