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Can a Derivative Contract Be Written on the Expected Block Size of a Future Cryptocurrency Upgrade?

Yes, a bespoke OTC binary option or forward contract can be structured to pay out based on the successful implementation of a block size change.
Greeks.Live19.11.25

Can a Derivative Contract Be Written on the Expected Block Size of a Future Cryptocurrency Upgrade?

Yes, it is theoretically possible to create a bespoke Over-The-Counter (OTC) derivative, such as a binary option or a forward contract, where the payout is contingent on a specific protocol parameter (like block size) being implemented by a certain date. These are highly specialized contracts, typically between institutional players, used to hedge or speculate on the outcome of contentious governance decisions.

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