Skip to main content

Why Are Most Cryptocurrency Options Typically European-Style?

Most cryptocurrency options are European-style primarily due to simplicity in pricing and settlement. The lack of an early exercise feature simplifies the mathematical models used to price the option, making them easier for market makers and exchanges to manage.

Furthermore, the centralized nature of many crypto options platforms facilitates this standardized, simpler structure.

What Is an American-Style Vs. a European-Style Crypto Option?
Explain the Difference between American-Style and European-Style Options
Are Most Major Crypto Options (Like BTC or ETH) American or European Style?
Are Most Crypto Options American or European Style?