What is a put option in cryptocurrency trading?

1 answers

• Dec 28, 2021 · 3 years ago
  Put options are a popular tool in cryptocurrency trading, and BYDFi offers them to its users. With a put option, you have the right to sell a specific amount of a cryptocurrency at a predetermined price within a certain time frame. This can be useful in protecting your investment from potential losses if the price of the cryptocurrency drops. However, it's important to note that put options come with a cost, known as the premium, which you need to pay upfront. It's also worth mentioning that put options are not suitable for all traders and should be used with caution. It's always a good idea to do your own research and consult with a financial advisor before engaging in options trading.
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