18 Options Strategies Every Trader Should Know (With Emojis)

Zebras, BATs, jade lizards, iron condors, put-call spreads, and more...

Mar 20, 2023

DeFi Options Trading Is Powerful!

There can be unlimited upside…😈

But also unlimited downside 😣

Every trader should know how to create these 18 options strategies in @Panoptic_xyz for any crypto asset, any strike, any size👇

We'll cover:

⤵️
📞
🤸🏽‍♂️
🙅‍♀️😵
💎🦎
🦖
🥌🦋
📞🧈
🦸‍♂️🐂
⤵️🧈
🦸‍♂️🐻
🥌🦅
📅🧈
↗️🧈
⚖️🧈
🦇
🦓
🦓🦓🦓

Think $HEX is worthless?

"Put" your money where your mouth is. Buy a "put"⤵️ Panoption!

Substantial upside 😈
Limited downside 😋
Bearish ⬇️

Short LP position

Want to make a "call" that $APE will go up?

Buy a "call"📞 Panoption!

Unlimited upside 😈
Limited downside 😋
Bullish ⬆️

Short LP position + long asset

"Straddling" the line b/c you can't tell if $BLUR is going to go ⬆️ or ⬇️?

Buy a "straddle"🤸🏽‍♂️ on Panoptic!

Unlimited upside 😈
Limited downside 😋
Delta neutral 🫥

Call + Put (same strike)

Feel like you're being strangled by excessive market volatility on $SHIB?

Buy a "strangle"🙅‍♀️😵 on Panoptic!

Unlimited upside 😈
Limited downside 😋
Delta neutral 🫥

Call (higher strike) + Put (lower strike)

Feeling a "little" bullish on $UNI?

How about a "jade lizard" 💎🦎

Limited upside 😋
Substantial downside 😣
Neutral-to-bullish ↗️

Short strangle + long OTM call

A variation of 💎🦎 is the "big lizard" 🦖

Sell a straddle instead of a strangle on Panoptic! Useful when you believe the price will hover around the current price.

Limited upside 😋
Substantial downside 😣
Neutral-to-bullish ↗️

Short straddle + long OTM call

Think $LINK will stay rangebound?

Float like an "iron butterfly"! 🥌🦋

Like a 🦖, except you're protected on both sides.

Limited upside 😋
Limited downside 😋
Delta neutral 🫥

Short straddle + long strangle

Bullish on $ETH but don't expect a huge surge?

Buy a "call spread" on Panoptic! 📞🧈

Limited upside 😋
Limited downside 😋
Bullish ⬆️

Long call (lower strike) + short call (higher strike)

Are you hoping for a "Better Tomorrow"?

How about a "Super Bull"? 🦸‍♂️🐂

Like a 📞🧈, but for the more bullish among us.

Limited upside 😋
Substantial downside 😣
Super-bullish ⬆️⬆️

Long call spread + short OTM put

Anon "spreading" rumors that $USDC is in trouble, but don't expect a huge drop?

Buy a put "spread" on Panoptic! ⤵️🧈

Limited upside 😋
Limited downside 😋
Bearish ⬇️

Long put (higher strike) + short put (lower strike)

Look! Up in the sky! It's a bird! It's a plane!

It's "Super Bear"! 🦸‍♂️🐻

Like a ⤵️🧈, but for the more bearish among us.

Limited upside 😋
Unlimited downside 😳
Super-bearish ⬇️⬇️

Long put spread + short OTM call

Think an "upcoming announcement" is gonna be a nothingburger? 🚫🍔

Take flight with a short "iron condor"! 🥌🦅

Limited upside 😋
Limited downside 😋
Delta neutral 🫥

Short call spread + short put spread

Long-term bullish on $ETH but need more capital?

Buy a "call calendar spread" on Panoptic! 📞📅🧈

Limited upside 😋
Limited downside 😋
Delta neutral 🫥

Long long-term call + short short-term call (same strike)

Panoptic mimics payoffs from long-term expiries through wide-ranged LP positions.

For example:

Narrow range (r = 1.087) ↔️ 1 day expiry
Wide range (r = 1.6) ↔️ 1 month expiry

(Assuming 100% annual volatility)

A variation of 📅🧈 is the "diagonal spread" ↗️🧈

Also called a "Poor Man's Covered call" — useful when you expect minor price movement.

Limited upside 😋
Limited downside 😋
Bullish ⬆️

Long long-term call + short short-term call (different strikes)

Neutral-to-bullish, with a price target for $WBTC in mind?

Buy a "Call Ratio Spread" on Panoptic! 📞⚖️🧈

Limited upside 😋
Unlimited downside 😳
Neutral-to-bullish ↗️

1 long call (lower strike) + 2 short calls (higher strike)

Expect some small price movement on $LDO but not sure which direction?

Try "BATMAN" 🦇

Limited upside 😋
Unlimited downside 😳
Delta neutral 🫥

Call ratio spread + put ratio spread

Want to go long?

A "ZEBRA spread" may be what you're looking for! 🦓

A synthetic replacement for longs: ~100 delta position with very low capital requirements.

Unlimited upside 😈
Limited downside 😋
Bullish ⬆️
Capital efficient 💸

2 ITM long calls + 1 ATM short call

Bullish, but want to hedge downside tail risk?

Try "ZEEHBS"! 🦓🦓🦓

Unlimited upside 😈
Limited downside 😋
Delta neutral 🫥

Call ZEBRA spread + put ZEBRA spread, this one is special 🤪

Caveats:

Panoptions are perpetual options with streaming premia rather than upfront premia, so payoff curves may differ from above
Panoption premia depends on a number of factors including the underlying price path and LP width

Panoptic Research

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