What are the most popular options pricing models used in the cryptocurrency industry?

1 answers

• Pouria AhmadiJun 25, 2024 · a year ago
  The most popular options pricing models used in the cryptocurrency industry are the Black-Scholes-Merton model, the Binomial options pricing model, the Monte Carlo simulation, and the implied volatility models. Each model has its own strengths and weaknesses, and their relevance depends on the specific characteristics of the cryptocurrency being traded and the trading strategy being employed. It is important for traders to understand these models and their assumptions in order to make informed decisions and manage their risk effectively.
  543

  272