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Glossary

An option that can be exercised any time up to and including the expiration date.

Price at which an option or stock is offered for sale

Option's strike price equal to the underlying asset's market price.

Price at which an option or stock is available for purchase

Model used to calculate European-style options prices

Price at which an option position neither gains nor loses value

Options strategy with limited risk and profit potential

Options strategy involving options with same strike price but different expiration dates

Contract giving the right to buy an asset at a specified price

Options strategy to limit risk and potential profit

Options strategy involving a long position and selling a call option

Measure of an option's price sensitivity to the underlying asset's price

Option that can only be exercised on its expiration date

Portion of option's price attributed to factors other than intrinsic value

Measure of the rate of change of an option's delta

Measures of risk in options pricing

Measure of expected volatility of the underlying asset

When the underlying asset's market price is between the Panoption's lower and upper price range

Option with strike price favorable relative to the underlying asset's market price

Value of an option if exercised immediately

Options strategy involving selling out-of-the-money calls and puts

a long position in a financial instrument means the holder of the position owns a positive amount of the instrument.

The amount of money or collateral that an investor must deposit with a broker to cover potential losses on an options position.

Selling option without owning the underlying

Theoretical value of the underlying asset represented by an option

A list of options available for a specific underlying asset

When the underlying asset's market price is above tjhe Panoption's upper price range or below the Panoption's lower price range

An option with no intrinsic value

A perpetual, oracle-less, decentralized, option with fixed gamma between two prices, operating on a streaming premium model.

Options with no expiration date

The price paid by the buyer of an option to the seller.

External data providers for blockchain-based smart contracts

A contract that gives the holder the right, but not the obligation, to sell an underlying asset at a specified price (strike price)

The range where users provide liquidity

Strategy betting on a decline in an asset's price

The way Panption sellers collect fees

Measure of an option's price sensitivity to time decay

Implied volatility pattern across options with different strike prices