Post
Topic
Board Trading Discussion
Re: Insure your Bitcoin with options
by
vennali
on 04/08/2020, 12:49:52 UTC
Futures and options are very similar in terms of "hedging," and just like you pointed out.

Quote
Hedging is a trading strategy to reduce or eliminate the risk of holding one position by taking on another position.

I think what you didn't point out is the risk between the two choices that you have "Call" and "Put" Options. It basically has the same risk. but you need to know that there are fees on it when you are holding that particular position.

I still prefer to trade Futures even if it's riskier and has funding fees like in Binance Futures.
Sparrow Exchange has 50% off on trading fees if you utilize their native token (SPO). If trading fees has become a burden. Maybe you could try multiple platforms to get the best possible value of your trades.  Cool

~snip~

Sorry for being noob dude, Can you briefly explain or summarize it in simple explanation about sparrow exchange, what doesn't it means?
am I gonna invest in it then has a similarity of staking? Just not so sure if I am correct to my understanding, but anyway I think this will give me a bit of help to me.
I am not sure about that. Well,  about Sparrow Exchange, they are an Options trading platform located in Singapore. You could join their telegram(link in my signature) or write an email to them on support@sparrowexchange.com about investment opportunities(don't think they are looking for investments, but I could be wrong).