The world’s largest cryptocurrency exchange Binance has announced support for options trading on its mobile applications.
According to an update published April 13, Binance is enabling clients to participate in options trading via its iOS and Android mobile applications.
— Binance (@binance) April 13, 2020
Users are required to update to the latest version of the mobile app in order to gain access to options trading.
The release states that premiums on options are first deducted from a user’s futures wallet balance before profit is calculated. Clients are encouraged to ensure they have enough free margin in their futures balance before placing orders, with the fixed premium value paid at the start.
According to the release,
Thus options have fixed downside cost paid upfront, and unlimited upside. Net profit for your options trade is profit – premium.
Binance also reminds users that trades are executed at the exact market price of when the transaction is completed, which may differ slightly from the price displayed at the time of the order.
The release contains a risk warning disclaimer, telling investors that the majority of options will not be profitable and to trade at their own discretion.
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