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The futures exchange needs a cash market to reference for the final settlement price of the bitcoin futures contract expiry. The twins own one of the many exchanges that trade crypto around the world.

She told her clients and the public that she made money every month. She then paid herself millions based on those profits booked. She did not tell her clients that her open positions were continuing to lose millions more each month. She gave the impression that by selling premium, she was...

Having lost 100 million of client funds, now the lawyers get a chance to take a piece of the pie. There is never a bigger loser than the individual who trust others with their money.

Sumokoin?

I have unwound the whole trade for a nice profit and waiting for the next opportunity. The risk to the downside is too high for the premium left in it. Always take big winners!

So who do we blame for this happening? The investors or the exchange? Does the exchange have any duty to investors? Do they care?

Picking up coins in front of a steam roller is very challenging. Watch those fingers and arms! Trapped and you can't jump out of the way. If you break even before commissions, you got lucky.

It's not hard to figure out. They are always short delta as the market drifts upwards over time. They talk about their trades every day and grumble about how much they are down. When lucky, they get out for break even. They need new viewers to keep the scam alive and collect commissions. If the...

I guess the short answer is that the public markets are overpriced and management give themselves too many stock options to justify the risk. Many of my sovereign wealth clients have given up on public companies. They have shifted the focus to private companies and liquidate positions once they...

Ok. If you want to go all the way back to 1871 then the returns are higher. The S&P was over 4%. As I said above, this excludes dividends cause the index ETF does not reinvest like the Vanguard fund does and you would have taxes plus additional fees to reinvest so the 9% return is not a real...

The S&P 500 annual returns since January 1900 - January 2017 was approximately 2%. Do you think 2% is reasonable return for stocks? Market goes up or down 2% every day if not week? How can we only make 2% return per year over 117 years? This excludes management fees and dividends. You're...

If you take a step back and look at the market itself, you would know that after costs the returns will always be negative. Most people look at the index and think that there is a natural positive bias and over decades you will make money. The reality is distorted because the indices avoid...

If you want to keep it simple, just sell the Straddle with highest extrinsic upon delivery of stock. This doubles your potential returns with a cap to the upside. If it drops again, you will buy more at yet lower prices. Plan on 4x risk to zero and accept that risk. Find a stock that has some...

Yes. 10 days to expiry of option. Yes. Sell gainers. Sorry not updated. Been snow skiing.

The brokers earn money on transactions and so they encourage you to trade too big and make more money when you cut losses on a big move down. Why not turn lemons into lemonade? Why not trade small and Dollar average down when an unexpected event drops the market. The alternative is to get long...

The strangle will have a higher probability of success but the total profits earned will be lower. Given the cost of transaction, I prefer to go with the lower probability straddle but higher profit earned as a result. But your right that the strangle is an equally good idea.

Each of your strategies is a synthetic naked option explained via the Put call parity relationship. Long stock plus short call equals short put. You have unlimited losses outside of a 3% break even move. So if spy is going up 20% is going to have a 17% loss and the same moving the other...

The whole shipping industry takes advantage of dumb retail investors in the public markets to raise capital and buy ships which can't produce economic value. These companies are run by investment bankers or family owned entrepreneurs. It's a vicious cycle where investors will still give the...