1. Eligibility & Account Setup
Who is eligible to trade OTC Options?
OTC Options are available exclusively to institutional or VIP clients who currently have access to our OTC trading desk. Additionally, clients must not be operating from georestricted jurisdictions and have accepted both the OTC T&C and the Exchange Derivatives T&C.
Do I use my existing trading account for options?
No. Once onboarded for options trading, a new, dedicated Options account will be provisioned for you.
All options bookings, premium payments, collateral holdings, and final settlements will occur strictly within this isolated account.
2. Instrument & Contract Specifications
What instruments are available for trading?
We support European-style options contracts on the following underlying asset:
Underlying Asset: HBAR_USD
What does "Fully Funded" mean?
"Fully Funded" means that leverage is not permitted.
For Option Buyers: You must have the full premium available in your Options account at the time of booking.
For Option Sellers (Writers): You must collateralize 100% of the potential maximum downside or delivery obligation upfront. Because positions are fully collateralized, no margin calls or auto-liquidation are expected during the life of the contract.
What is the payout and delivery structure?
Payout Profile: Always linear.
Delivery Method: Always physical delivery.
What time does settlement occur?
All expiring contracts settle precisely at 08:00:00 UTC on the specified expiry date.
3. Trade Booking & Position Tracking
How do I execute an OTC Options trade?
Trades are executed via High-Touch Booking. This means you will negotiate and execute trades directly through your dedicated OTC Sales Trader via your established institutional communication channels (e.g., Telegram or Slack).
How do I track my active positions?
Important UI Note: Active OTC Options positions will not be visible in your standard web or mobile UI.
Because these are bespoke, high-touch OTC contracts, position tracking is handled off-platform:
Trade Confirmation: Immediately after a deal is successfully booked by your Sales Trader, a formal trade receipt will be sent to your registered email address.
Portfolio Statements: Your OTC desk can provide position statements directly via email or your preferred communication channel upon request.
4. Settlement & Post-Trade Lifecycle
When is the premium deducted or credited?
Premium transfers happen immediately after the deal is confirmed and booked by the OTC desk.
If you are buying an option, the premium will be debited from your Options account instantly.
If you are selling an option, the premium will be credited to your Options account instantly, while the required collateral is locked.
What happens when an option expires?
At exactly 08:00:00 UTC on the date of expiry:
Exercise & Assignment: In-the-money options will automatically be exercised.
Collateral Unlock: Any collateral tied to expired, out-of-the-money options will be unlocked.
Processing Window: Physical delivery and collateral unlock processing are expected to be completed within approximately one hour after expiry, by around 09:00:00 UTC.
Will I receive proof of settlement?
Yes. Once the exercise or collateral unlock process is finalized, a settlement receipt will be automatically sent to your registered email address for your accounting and auditing records.