Can a Peer-to-Peer Protocol Be Used for Tokenized Options Trading? ⎊ Path

Can a Peer-to-Peer Protocol Be Used for Tokenized Options Trading?

Yes, a peer-to-peer (P2P) protocol can be used for tokenized options trading. In this model, an individual option writer directly offers a contract to an individual buyer, setting custom terms (strike, expiration, premium).

The smart contract acts as the intermediary, holding the writer's collateral and managing the settlement, enabling highly customizable, direct-market access.

How Do Decentralized Exchanges (DEXs) Utilize Smart Contracts to Bypass Traditional Brokers?

How Does a Decentralized Exchange (DEX) Facilitate the Trading of Tokenized Derivatives?

What Is the Difference between an Atomic Swap and a Cross-Chain Bridge?

What Is the Difference between a VASP and a P2P Transaction under the Travel Rule?

What Are the Legal and Technical Challenges of Applying the FATF Travel Rule to Peer-to-Peer Stablecoin Transfers?

What Are the Main Differences between a Forward Contract and a Futures Contract?

How Does a Central Counterparty (CCP) Traditionally Handle Netting, and How Does Blockchain Disrupt This?

What Is the Difference between a Forward Contract and a Futures Contract?

Glossar

Tokenized Options

Derivative ⎊ Tokenized options represent a novel intersection of decentralized finance (DeFi) and traditional options trading, enabling the fractionalization and on-chain representation of options contracts.