In What Ways Can a Stablecoin Be Used in Options Trading?
Stablecoins serve as the preferred collateral or settlement asset for crypto derivatives, including options. They allow traders to realize profits or cover losses in a non-volatile asset, avoiding exposure to the underlying cryptocurrency's price swings.
This provides a reliable medium of exchange for margin and premium payments. Using stablecoins minimizes counterparty risk related to asset volatility in the settlement process.