Beginner's Guide: Options Trading in Crypto by RocketFuel Team Options are a powerful derivative instrument that can provide leverage for speculation, risk protection for an underlying asset, flexibility to trade bi-directionally, and a means to generate monthly income. However, there is significant risk* when options are misunderstood and misused. This guide, brought to you by Rocketfuel, starts with the basics of options and then progresses to advanced trading strategies using a combination of spreads. A glossary of terms relevant to these strategies is also provided. *Options trading strategies in crypto are relatively new and carry additional risks compared to traditional markets. It is crucial to consider execution risks, liquidity, and regulatory uncertainties before engaging in crypto options trading. This guide is for educational purposes only. Basic Concepts Call Options A call option contract gives the buyer the right, but not the obligation, to buy a security or finan...