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What Is the ‘Underlying Asset’ in a Cryptocurrency Option?

The specific digital asset (e.g. Bitcoin, Ethereum) whose price determines the option's value.
Greeks.Live23.11.25

What Is the ‘Underlying Asset’ in a Cryptocurrency Option?

The underlying asset in a cryptocurrency option is the specific digital asset that the contract is based upon. This is typically a major cryptocurrency like Bitcoin (BTC) or Ethereum (ETH).

The price movement of this underlying crypto dictates the value and eventual payoff of the options contract.

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