Both futures and options are types of derivatives and can be traded on OKX for a variety of cryptocurrencies, including Bitcoin (BTC) and Ether (ETH).
While both derivatives are agreements for future transactions, options are optional but futures contracts are obligatory commitments. Futures contracts are useful not only for traders but for individuals and organizations that deal with the actual underlying assets, allowing them to mitigate operational and business risks from unforeseen market movements and volatility.
The most common example is that of Bitcoin miners, which generate revenue from the BTC they receive — the value of which can fluctuate widely, though their costs are relatively fixed and often paid in fiat. If Bitcoin's price declines significantly in the future, the miners' ability to meet their fixed costs is adversely affected, potentially jeopardizing their operations. In order to manage this risk, miners can turn to the futures market and find future buyers for their BTC at prices that will allow them to continue operating profitably.
Options contracts, on the other hand, are more suitable for price speculation with limited downside risks.
OKX offers both options and futures trading for Bitcoin and other digital currencies, and it also has a host of tutorials, guides, analyses and futures trading charts available so that users can make the most of their trading strategies and goals.