How Does a High Theta Value Affect a DAO That Is a Net Buyer of Options?

Theta is the measure of time decay, indicating how much an option's value is expected to decrease each day as it approaches expiration. A high Theta value negatively affects a DAO that is a net buyer of options, as the purchased options lose value rapidly due to the passage of time.

This means the DAO must be correct about the direction and timing of the underlying asset's price move before the time decay erodes the option's premium entirely.