In the space of a few years, Bitcoin has surged—from something that couch potatoes trade for a slice of pizza via a Reddit thread, to one of the hottest commodities on the market.
In the last five years, total daily transactions in the Bitcoin market have risen 900%—from 33,800 to over 335,000, according to CoinDesk. As the cryptocurrency has become more popular, so have the instruments to trade it. More exchanges are opening up, and Bitcoin exchange traded funds (ETFs) may be on their way. But one tool that is already up and running is Bitcoin options. For years, Bitcoin option trading was not regulated in the U.S., but this looks set to change with a recent decision by the Commodity Futures Trading Commission (CFTC).
However,
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