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Can an NFT Representing an Option Be Traded before Expiration?

Yes, an NFT representing an option contract can be traded on secondary NFT marketplaces before its expiration date. The option's value (premium) fluctuates based on the underlying asset's price, time to expiration, and volatility.

Trading the NFT transfers the ownership and all associated rights and obligations to the new holder.

What Is the Role of the Secondary Token’s Market Depth in the Stability of the System?
How Does the SEC Distinguish between an Initial Sale and Secondary Sales under Securities Law?
How Does the Metadata Structure Affect NFT Marketplace Indexing?
What Happens to the Secondary Token’s Value during a “Death Spiral” Event?