What is the difference between Crypto futures and crypto options?

Crypto futures are still more popular than crypto options, which represent another type of derivatives. In an option contract, the buyer of the option has the right but not the obligation to buy the underlying asset in the case of a call option or sell it in the case of a put option at a predetermined price within a certain period.

What are cryptocurrency options?

Before we can take an in-depth look at cryptocurrency options, we have to cover some basic option theory. There are two types of options that one can buy. These are a CALL and a PUT option. A CALL option gives the holder the right to buy an asset at the strike price. A PUT gives the holder the right to sell an asset at a predetermined price.

Is it safe to trade cryptocurrency futures?

As with any form of trading, there are considerable risks that should not be ignored. Both institutional and retail traders prefer cryptocurrency futures thanks to their convenience and lower risk of hacking attacks than the spot market. Crypto futures are still more popular than crypto options, which represent another type of derivatives.

What are bitcoin futures and Bitcoin options?

Both Bitcoin futures and Bitcoin options are available to be traded on Bybit as well. Futures contracts can be useful for speculative traders but have a real utility for individuals and organizations that deal with the actual underlying assets, allowing them to hedge operational and business risks from unforeseen market movements and volatility.