What Are Some of the More Exotic Types of Cryptocurrency Derivatives?

There are a number of more exotic types of cryptocurrency derivatives that are available to trade. These include options on futures, binary options, and contracts for difference (CFDs).

Options on futures give the holder the right, but not the obligation, to buy or sell a futures contract at a specific price on or before a future date. Binary options are a type of option where the payoff is either a fixed amount or nothing at all.

CFDs are a type of derivative that allows traders to speculate on the price of an asset without having to own the underlying asset.