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Can Options Trading Be Conducted Privately Using DeFi Dark Execution Methods?

Yes, options trading on decentralized exchanges (DEXs) can utilize private execution methods like Flashbots. A large order to buy or sell an options contract could be submitted as part of a private transaction bundle.

This prevents a front-runner from seeing the order and manipulating the underlying asset price or the options premium before the execution, which is crucial for large-volume options strategies.

What Technical Solutions Are Used to Mitigate MEV and Front-Running in DeFi?
How Do Private Transaction Relays Work to Hide Orders from Front-Runners?
What Is Maximal Extractable Value (MEV) and How Does It Relate to Private Transaction Relays?
What Are the Centralization Risks Associated with Private Transaction Relays?