Non-Standard Options

Introduction to Non-Standard Options

Let's dive into the world of cryptocurrency options trading and delve into the concept of a unique strategy known as Non-Standard Options. Often overlooked by beginners, understanding this can offer traders more versatility and creative trading options.

What are Non-Standard Options?

Very simply put, Non-Standard Options are an offshoot of the standard options commonly available in options trading. Standard options usually contain a fixed number of deliverable shares, typically set at 100. However, Non-Standard Options differ in the sense they entail a varied number of deliverable shares. Essentially, they sport a flexibility that merits value among more seasoned traders.

Non-Standard Options in Cryptocurrency Trading

When it comes to the universe of cryptocurrency trading, Non-Standard Options can play a noteworthy role. Given that cryptocurrencies offer the advantage of fractionalization (being able to buy fractions of a coin), traders can introduce customizability into their option contracts. This deviates from the 'standard' and thus introduces Non-Standard Options.

Benefits of Non-Standard Options

So, why consider Non-Standard Options in your arsenal of cryptocurrency trading? One reason stands out – potential for enhanced returns. Since you can buy fractions of a coin, you can often invest less initially while still garnering the possibility of considerable returns. Additionally, these options grant traders the freedom to experiment with non-standard strategies, paving the way for potential unique profits.

Handling Non-Standard Options

Adding Non-Standard Options to your cryptocurrency options trading plan necessitates caution. Such options may offer the lure of high returns, but they also bring their own risks due to their inherent complexity. Take time to understand their nuances before engaging in Non-Standard Options trading.