In Options Trading, What Is the Importance of an Accurate Timestamp in Transaction Records?

An accurate timestamp is critical for options trading because the value and execution of options contracts are time-sensitive. Expiration times, exercise deadlines, and the calculation of time decay (Theta) all rely on precise time data.

In a decentralized environment, a reliable, untampered timestamp in the block header ensures that smart contracts execute options at the exact, agreed-upon time, preventing disputes and ensuring fair settlement.