How Does the Settlement of Crypto Options Differ from Stock Options? ▴ Learn

How Does the Settlement of Crypto Options Differ from Stock Options?

Crypto options are often cash-settled, meaning that upon expiration, the difference between the strike price and the final settlement price is paid in a fiat currency or a stablecoin, rather than the physical delivery of the underlying cryptocurrency. Stock options can be cash-settled or physically-settled (delivery of shares).

What Is the Difference between Physically-Settled and Cash-Settled Crypto Options?

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