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Glossary

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

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Price at which an option or stock is offered for sale

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

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Price at which an option or stock is available for purchase

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Model used to calculate European-style options prices

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Price at which an option position neither gains nor loses value

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Options strategy with limited risk and profit potential

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

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

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Options strategy to limit risk and potential profit

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Options strategy involving a long position and selling a call option

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

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Option that can only be exercised on its expiration date

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

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

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Measures of risk in options pricing

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Measure of expected volatility of the underlying asset

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

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

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Value of an option if exercised immediately

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

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

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

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Selling option without owning the underlying

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Theoretical value of the underlying asset represented by an option

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A list of options available for a specific underlying asset

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

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An option with no intrinsic value

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

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Options with no expiration date

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

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External data providers for blockchain-based smart contracts

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

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The range where users provide liquidity

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Strategy betting on a decline in an asset's price

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The way Panption sellers collect fees

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Measure of an option's price sensitivity to time decay

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Implied volatility pattern across options with different strike prices