[Search] Bitcoin option market | Bitcointalksearch.org

MPOE-PR

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Quote from: coqui33 on April 05, 2013, 11:07:01 AM

Question: The (apparently MPEx make-a-market) asked premiums for puts are the same from OUSDP020T through OUSDP089T. Also, the asked premiums are the same from OUSDP020N through OUSDP050N. People (like me) who merely want a hedge against a cataclysm would buy puts at low strike prices, but only if the premiums matched the strikes. Why would anyone buy a OUSDP020T, say, if they can get a OUSDP089T for the same price?

I have no idea why people would do something like that. Apparently the bot doesn't think it's safe to offer the respective contracts for less.

coqui33

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Question: The (apparently MPEx make-a-market) asked premiums for puts are the same from OUSDP020T through OUSDP089T. Also, the asked premiums are the same from OUSDP020N through OUSDP050N. People (like me) who merely want a hedge against a cataclysm would buy puts at low strike prices, but only if the premiums matched the strikes. Why would anyone buy a OUSDP020T, say, if they can get a OUSDP089T for the same price?

MPOE-PR

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Quote from: coqui33 on April 05, 2013, 08:06:16 AM

Myopia is probably understandable. Everything seems to happen faster with BTC. Also, a lot more people trade calls than puts. I wonder what that means?

Recently it's been somewhat the case, but not historically so much.

I guess it just means people are bullish.

coqui33

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Quote from: MPOE-PR on April 04, 2013, 11:04:46 PM

On one hand, the total market depth right now is in the 100ks of BTC range. (1k both sides for ~250 MPSICs). On the other, contracts traded so far this month come to ~20k, which represent 1 BTC each, which comes to ~20k BTC notional.

People do trade close month a lot and next month very little, this is a testament to the myopic worldview of Bitcoiners generally. A year ago we offered three months, for instance, the third was discontinued because nobody ever used it.

Myopia is probably understandable. Everything seems to happen faster with BTC. Also, a lot more people trade calls than puts. I wonder what that means?

MPOE-PR

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Quote from: coqui33 on April 04, 2013, 07:31:45 PM

We must be looking at different numbers. Or perhaps I misunderstand lot size. As I understand it, one lot means one coin. The entire total sum of this month's puts so far add up to just 6650 coins, of which all but 250 coins are at the high end of the range. The entire total sum of next month's put contracts add up to 0 (zero coins). FWIW, my interest is in buying puts as hedge, so I am looking to buy strike prices around 80-120 USD/BTC.

On one hand, the total market depth right now is in the 100ks of BTC range. (1k both sides for ~250 MPSICs). On the other, contracts traded so far this month come to ~20k, which represent 1 BTC each, which comes to ~20k BTC notional.

People do trade close month a lot and next month very little, this is a testament to the myopic worldview of Bitcoiners generally. A year ago we offered three months, for instance, the third was discontinued because nobody ever used it.

coqui33

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Quote from: deadweasel on April 04, 2013, 07:40:45 PM

there are not a lot of people trading options. those that do, do it on coinbr, mpex, bitfunder, etc. take it or leave it. i've doubled my money after several months of watching, reading, and questioning.

i would just keep an eye on those bits that interest you. see where it goes. like ghost trading. hopefully you jump in and enjoy the ride

also, don't bet the house.. bitcoin is still in BETA.

LOL! Thanks for the advice. I certainly do not plan to bet the house. I am not a speculator, nor even a day trader. My problem is the opposite.

A while back, I accumulated a nice handful of coins, which have suddenly become worth more than I am comfortable with. I cannot cash them out because there is no place else to go to preserve my capital. Dollars are slowly going down the drain, Euros are worse, and PMs have been stagnant for the past year. So I plan to hang on to the coins and spend them as needed. Consequently, I need a hedge to shield from a crash. The obvious choices are shorting futures or buying puts. Regarding futures, I have become discouraged with the icbit folks. So that seems to leave mpex options. At least for now.

deadweasel

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there are not a lot of people trading options. those that do, do it on coinbr, mpex, bitfunder, etc. take it or leave it. i've doubled my money after several months of watching, reading, and questioning.

i would just keep an eye on those bits that interest you. see where it goes. like ghost trading. hopefully you jump in and enjoy the ride

also, don't bet the house.. bitcoin is still in BETA.

coqui33

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Quote from: MPOE-PR on April 04, 2013, 10:41:48 AM

Seriously?! Last month was pushing 500k BTC, what counts as not very little in your book?

We must be looking at different numbers. Or perhaps I misunderstand lot size. As I understand it, one lot means one coin. The entire total sum of this month's puts so far add up to just 6650 coins, of which all but 250 coins are at the high end of the range. The entire total sum of next month's put contracts add up to 0 (zero coins). FWIW, my interest is in buying puts as hedge, so I am looking to buy strike prices around 80-120 USD/BTC.

MPOE-PR

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Quote from: coqui33 on April 03, 2013, 09:47:06 PM

Quote from: deadweasel on April 03, 2013, 02:55:03 PM

use CoinBr, you can trade with monthly fee of .09btc, it passes through to mpex.

Thank you. I signed up, funded my account, and put in a bid for one O.USD.P101T to try it out. Very slick interface.

The bad news is that there is very little options trading going on out there. I hope the options market picks up as bc become more popular.

Seriously?! Last month was pushing 500k BTC, what counts as not very little in your book?

coqui33

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Quote from: deadweasel on April 03, 2013, 02:55:03 PM

use CoinBr, you can trade with monthly fee of .09btc, it passes through to mpex.

Thank you. I signed up, funded my account, and put in a bid for one O.USD.P101T to try it out. Very slick interface.

The bad news is that there is very little options trading going on out there. I hope the options market picks up as bc become more popular.

deadweasel

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Quote from: coqui33 on April 03, 2013, 02:36:24 PM

Is there an options market that does not charge >$3G buy-in?

use CoinBr, you can trade with monthly fee of .09btc, it passes through to mpex.

coqui33

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Is there an options market that does not charge >$3G buy-in?

MPOE-PR

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Quote from: Eisenhower34 on April 03, 2013, 08:30:47 AM

Dont know what to say, if MPOE offers this, then all I can say is that Im not interested in MPOE for various reasons which I wont state public because you would feel insulted and I dont have time for that drama.

Right-o. Carry on.

Eisenhower34

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Dont know what to say, if MPOE offers this, then all I can say is that Im not interested in MPOE for various reasons which I wont state public because you would feel insulted and I dont have time for that drama.

MPOE-PR

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Can't tell if serious....

Eisenhower34

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Looking for a Bitcoin option market. Anyone know about one and can recommend it?

Topic: [Search] Bitcoin option market (Read 988 times)