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Why Do Centralized Crypto Exchanges Prefer to List European-Style Options?

Centralized exchanges prefer European-style options because they simplify the clearing and settlement process. Since exercise can only occur on one specific day (expiration), the exchange's risk management and collateral requirements are less complex and easier to model.

This standardization facilitates higher liquidity and lower operational overhead.

Why Do Crypto Exchanges Prefer European-Style Options for Settlement?
Why Are European-Style Options More Common than American-Style Options in Decentralized Options Protocols?
How Does the Threat of a 51% Attack Influence the Decision to List a New Altcoin on an Exchange?
Why Are Most Major Crypto Options Exchanges Structured as European-Style?