MoonXBT warrant options stem from American options but with optimized links, a simplified trading process, a more streamlined trading experience, and better liquidity. When purchasing MoonXBT warrant options, users only need to select the time, choose the call or put direction and enter the denomination to purchase differently priced option products, making the transaction process effortless and convenient.
Warrant options advantages - low risk, high return
When markets are volatile, spot leverage, perpetual contracts, and delivery contracts all carry liquidation risk. In contrast, option holders carry no risk of losing their positions through liquidation. Simultaneously, options traders have limited losses. The maximum loss is the cost of purchasing the option.
Theoretically, there are no limits to the returns on options. For example, if the underlying price rises significantly, the call option will yield the same gain for the trader. Similarly, if a user purchases a put option, a significant decline in the underlying price will result in the same positive return for the trader.
A call option gives the holder the right to buy a specific denomination of an asset at a set price at a certain point in the future for a premium. Holders of MoonXBT warrant call options can generate returns from rises in the underlying asset price. In addition, traders can exercise them in advance of the expiration date to ensure profits.
A put option gives the holder the right to sell a specific denomination of an asset at a set price at a certain point in the future for a premium. In addition, traders can exercise them in advance of the expiration date to ensure profits.