I've been introduced to the amazing world of options trading via stocks about 2 years ago, soon I started to investigate can we trade options also on cryptocurrencies, and here is how I found the Deribit crypto options trading platform.
On Deribit.com I've been trading crypto options with various success since April 2019, unlike stock options, crypto options are cash-settled in crypto, which can make this bit complicated, make sure to read out my previous article on this topic;
- Selling Covered Calls on Ethereum (Crypto Cash Settled)
- Selling Covered Calls on Crypto (Ethereum / Bitcoin) with Deribit?
I've decided to launch another cool challenge - trading small bits of Ethereum every day for the next 30 days, starting yesterday (November 26, 2020)
Here is the plan - I will sell out of the money call options with one-day expiry (1DTE), I'm looking at a 0.2-0.3% potential income yield every day. My starting balance ETH 0.18, which allows me to sell 1 contract (margin requirement). At the start of December, I will purchase more ETH and will try to make at least two contracts per day.
If I will make any profit at the end of this challenge, I might scale up in 2021.
All updates will be shared.