Topic: [WTB]Bitcoin Call Options (Read 421 times)

If you sold an European style, would you be willing to allow some percentage of the call to be exercised in exchange for the option to be canceled? For example, I could exercise 50% of the option, and the other 50% would automatically expire out of the money.

Black-Scholes currently values a 311.6 strike price with a current stock price of 271, .33 years to maturity and implied volatility of 37.4 would have a value of $9.895, or around 0.0365 BTC per BTC of call options.

edit: I would prefer that the penalty for exercising early would be something closer to 20%, and I would get 80% of the then intrinsic value, however I am willing to negotiate 

I can give call option but not American but on European style means it can be exercise only on expiry.

Btw how much premium you are looking to pay over 15% above strike rate.

I am looking to purchase Call Options on the price of bitcoin.

I would want it to be an American Style option (e.g. the option can be exercised at any time), and be "cash settled" in bitcoin, meaning that the intrinsic value of the option will be converted to bitcoin and paid to me (assuming it is in the money at time of expiration and/or when the option is exercised).

The calculation as to how much the option would payout would be as follows:
((market_price - strike_price) / market_price)

I calculated the 3-month historical volatility to be roughly 37.4 and would be willing to pay a premium based on Black-Scholes

In order to sell the option, you must have the bitcoin in hand, and send the entire underlying amount to myself or a trusted escrow for the duration of the contract. Once the option is exercised and/or expires, the funds will be disbursed from escrow according to the above formula.

I am primarily looking for 120 day options (4 months, .33 years), however I would be willing to consider as short as 2.5 months and as long as 6 months if someone is looking for a different term.

I would want a strike price no higher then 15% of the current market value, however I am primarily looking for a strike price in the range of 4-5% above the current market rate.

I am flexible on which exchange price is used, however it obviously needs to be a major one and it would obviously need to remain consistent for fairness purposes.

I am looking for between 10-20 BTC of underlying value worth of options.

Credit to this thread for the idea