Bitcoin Forum

Economy => Speculation => Topic started by: keystroke on April 20, 2014, 05:40:10 AM



Title: Derivatives market?
Post by: keystroke on April 20, 2014, 05:40:10 AM
Next bubble it'd be nice to insure against the drop by buying some puts. Then get more coin back after the dip.

Anyone do this late last year? Besides some,  I believe, thinly traded MPEx stuff, I don't know of a market....

Perhaps someone here would be willing to write contracts.

I see lots of advantage to this strategy. I could never short the coin. And selling to buy back has many disadvantages (exchange risk, tax liability, etc.)



Title: Re: Derivatives market?
Post by: Raystonn on April 20, 2014, 06:22:59 AM
Interesting to see the price levels that are priced into that market for May, June, and September 2014.  Volume seems very thin though.


Title: Re: Derivatives market?
Post by: Elwar on April 20, 2014, 06:33:45 AM
Why not just short on BitFinex?


Title: Re: Derivatives market?
Post by: TERA on April 20, 2014, 08:05:11 AM
get this wall street crap out of here


Title: Re: Derivatives market?
Post by: keystroke on April 20, 2014, 08:13:12 AM
Why not just short on BitFinex?
For ideological reasons I can never short the coin. :)
Buying insurance with options is another matter.


Title: Re: Derivatives market?
Post by: eoJ on April 20, 2014, 01:55:58 PM
Why not just short on BitFinex?
For ideological reasons I can never short the coin. :)
Buying insurance with options is another matter.
Then you can't hedge. Hedging requires both a short and a long position.