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May I talk with you about our lord and saviour Implied Volatility?

because short put and short stock = short call pls don't tell me you trade options and don't know synthetics

sell puts with the same strike and short shares

Based on what?

I guess you mix things up a bit here. HFT are either battling for queue position to run a 0+ strategy aka if they have a good position, they stay, wait for a fill and flip it for a tick or they don't so they cancel. Orders are layered across all prices which requires a sufficient amount of...

just a head up: battling out queue position is basically the most HFTish way to trade. There are hundreds of papers out there that describe how to model the FIFO queue. Just don't do it. The queue position you see on your screen is at least 1.6ms old which is the lag of the fastest monitor you...

Yes for ETers but no for traders :D

Dude, you want to compete in the tightest race and don't know, which market you should trade and if you should make markets manually or with a machine??

Anyone can use a blockchain explorer or buy a cyberforensics tool and it's not been the first time that crypto has been seized. They 100% did not crack the SHA-256 algo, but the server the private keys were stored on. FBI said they were investigating since last year and found 90 other...

For a dude who wants to compete against other market makers its baffling how little you know.

again, it doesn't make any sense to put a theoretical model onto a marketplace. This would be just like equity options that can only be traded against a vol model set by the exchange. you need to figure out how you can create a market place that has supply/demand driven IV per strike and term...

Thing is, you don't have the IV. IV is subject to supply and demand. Fixing it would be the same as fixing the ETH price you borrow and lend for or fixing the price of the governance token. It doesn't make sense. IV varies from strike to strike and across all terms. As you said, collateral...

If you really want to get your feet wet in crypto, go buy some coin for 50$ with a credit card and trade on crypto native exchanges. CME and Bakkt are a dumpster fire

Honestly I don't see any way to make an options DEX work. All MMs trade one option against another and if I cannot see a chain or past IV figures, I'm gonna give you a quote so wide you can drive a truck through it. Second, the options market exists only on the surface. An options chain is...

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That's probably the best way to do it. You're a trader so you want to buy below fair value and sell above, not speculating about future outcomes. Thing is, options - especially single names - are basically a dealer market more than any other asset class. And the dealers inventory is limited...

Nah, that's not correct. Most speculators are in Asia. I mean, US citizens aren't even allowed to trade derivatives

You can master your psychology once you've found your edge. What's the intention behind losing money and feeling good about it?

If you mastered all that and are still afraid you're probably in the wrong business. If you trade for 30 years and cannot stand your ground anymore, this is probably true, too