One instrument perp traders keep avoiding 👀
$HYPE and $ETH perp traders dominate crypto derivatives volume. The instrument they consistently avoid is options, not because options are less powerful, but because the interface has always made them feel that way.
Options break a symmetry perps cannot.
A long call or put carries unlimited upside and a fixed downside. The max loss is the premium paid, known before entry, and not subject to liquidation. A perp in the same direction profits and loses in equal measure with no floor.
There is also a direction perps do not offer at all. A trader who expects price to stay range-bound can sell premium: collect payment upfront and profit if the view holds. That trade does not exist in the perpetual market.
Options have been live on Aevo for years. The only thing standing between most perp traders and their first options trade has been the interface.
$HYPE and $ETH perp traders dominate crypto derivatives volume. The instrument they consistently avoid is options, not because options are less powerful, but because the interface has always made them feel that way.
Options break a symmetry perps cannot.
A long call or put carries unlimited upside and a fixed downside. The max loss is the premium paid, known before entry, and not subject to liquidation. A perp in the same direction profits and loses in equal measure with no floor.
There is also a direction perps do not offer at all. A trader who expects price to stay range-bound can sell premium: collect payment upfront and profit if the view holds. That trade does not exist in the perpetual market.
Options have been live on Aevo for years. The only thing standing between most perp traders and their first options trade has been the interface.