Thanks for your reply fillippone. I think this topic (btc-(etf)-based options) is important and will become hotter and hotter for hodlers now that they're being negotiated at the NYSE.
Selling a call option with strike at 100K allows you to cash in the price,
You mean the premium? Or the current price (supposed less than 100k if the option is out-of-the-money) plus the premium?
and not being exposed to a loss until the BTC price crosses 100K before expiration.
I think these are EU-style options - exercise possible only at expiry? But I'm not sure.
In addition to that, selling a call, you buy futures.
This is where I get confused. According to this playbook, am I supposed to buy futures with the proceedings of selling the option? That would be the premium only (see my first question) - right?
So, if the BTC expires at 100K you:
1 Sold the option and cashed in the premium
I thought it would be like - The clearing house gives me 100K and I give them one coin. So the option buyer can have their bitcoin at 100k as promised.
2. Do not pay anything to the option buyer
3. Gain the P&L from the delta you bought at the initial price.
With "delta" you mean the premium - nothing related to the option (Greek) Delta?