Can a Stealth Address Be Used for an Options Contract Settlement?
Yes, a stealth address could be used for the settlement of an options contract if the underlying asset supports the technology. The payoff, whether in the underlying cryptocurrency or a stablecoin, could be sent to a unique, one-time stealth address generated for the contract's recipient.
This would ensure the settlement details, particularly the recipient's identity, remain private on the blockchain, which is valuable for institutional traders.
Glossar
Decentralized Options
Architecture ⎊ Decentralized options represent a paradigm shift in options trading, moving away from centralized exchange reliance towards blockchain-based smart contracts for execution and settlement.
Stealth Address
Anonymity ⎊ Stealth addresses represent a privacy-enhancing technique within cryptocurrency transactions, functioning as a derivative of a user’s public key to obscure the actual sending address.