Bybit, one of the world’s leading cryptocurrency exchanges by trading volume, has launched options trading on Tether Gold (XAUT), a token that gives you ownership of real physical gold.
XAUT options are now live, allowing traders to hedge risk, speculate on gold price movements, trade volatility and build custom strategies through Bybit’s Request for Quote (RFQ) system for over-the-counter (OTC) trades.
Bybit partnered with Orbit Markets, a leading option market maker active in both crypto and traditional finance to ensure deep liquidity from the start. Orbit’s team brings significant expertise, including former executives from precious metals trading desks, notably the former APAC Head of Currencies and Precious Metals at Deutsche Bank.
“As tokenization accelerates, we believe the distinction between crypto and TradFi will continue to narrow,” said Jimmy Yang, co-founder of Orbit Markets. “Gold options are a cornerstone of traditional derivatives markets and we are pleased to see growing interest in TradFi derivatives within crypto.”
The XAUT options are European-style contracts settled in the dollar-pegged stablecoin USDT, with each option contract corresponding to one XAUT token, which itself represents one troy ounce of physical gold.”
What are options?
Options are derivative contracts that give the buyer the right, but not the obligation, to buy or sell the underlying asset at a specified price before or on a specified date. A call option gives the right to buy, while a put option gives the right to sell.
