Opyn

DeFi users rely on Opyn’s smart contracts and interface to hedge themselves against DeFi risks or take speculative positions on different cryptocurrencies.

Options give option buyers the right, but not the obligation to buy or sell the option's underlying asset at the strike price by the expiry date.

• An option that gives the option buyer the right to buy the underlying asset is called a call option

• An option that gives the option buyer the right to sell the underlying asset is called a put option

Options sellers earn a premium in return for taking on this obligation to either buy the underlying from or selling the underlying to the option buyer.

  WHY OPTIONS? Hedging with options allows traders to reduce risk. Put options can provide a form of insurance, ensuring a position's max loss and protecting your portfolio against a market downturn.
One of the main reasons investors trade options is to generate income. Similar to yield farming, options can be used to earn yield or generate an income in any market condition.
Leverage allows traders to use less money to gain exposure to the movement of an asset's price. Options have similar market exposure to owning an asset, but require less money, allowing for more leverage and flexibility for your portfolio.
Options may provide profits in any market condition – up, down, or flat. That means you can speculate on the future price of an asset, whether it goes up, down, or trades within a range.