Which digital assets are suitable for selling puts on?

3 answers

• dukkesFeb 01, 2023 · 2 years ago
  When it comes to selling puts on digital assets, it's important to consider their volatility and liquidity. Generally, more established and widely traded assets like Bitcoin and Ethereum are popular choices for selling puts. These assets have a large market cap and high trading volume, which makes it easier to find buyers for the puts. However, keep in mind that selling puts on highly volatile assets can be risky, so it's crucial to do thorough research and analysis before making any decisions.
  499

  250
• Robert StancuDec 25, 2020 · 5 years ago
  If you're looking for less volatile options, you might consider selling puts on stablecoins like Tether or USD Coin. These assets are pegged to a stable value, usually the US dollar, and their prices tend to be less volatile compared to other cryptocurrencies. Selling puts on stablecoins can provide a more predictable income stream, but the premiums might be lower compared to more volatile assets.
  400

  134
• Havrun Maxim IgorovichJan 27, 2025 · 6 months ago
  At BYDFi, we recommend considering a diversified approach when selling puts on digital assets. By diversifying your portfolio and selling puts on a mix of different assets, you can spread out the risk and potentially increase your chances of earning consistent profits. It's important to carefully analyze each asset's fundamentals, market trends, and news before making any decisions. Remember, selling puts involves risk, so always do your due diligence and consult with a financial advisor if needed.
  503

  126