hmm i think venalli was referring to options trading in general, not specifically to Sparrow Exchange (they have a very helpful community on Telegram https://t.me/SparrowExchange! helped to explain alot of options concepts to a noob like me)

That statement is right if it is on physical settlement, Sparrow I think they only offer cash-settlement (which is like what you said, buyer of the option earns the price difference) for now. But the thing about options is that since you set strike price at 9K, it means as a seller, you are ok to sell it at 9K, so still win-win situation