OKX to launch limit orders for options based on IV/USD price
To enhance the functionalities offered to options traders, OKX will launch limit orders for options based on implied volatility (IV) and USD price at 2:00 pm UTC+8 on September 8, 2023.
This feature will first be launched on the OKX website. It will be available on the OKX app at a later date, which will be announced accordingly.
Limit orders based on IV
You can place a limit order with an IV value to specify the target price level of your options contract. The BTC/ETH prices of these orders are continuously updated using the Black-Scholes (BS) options pricing formula once they're placed in the order book, such that the corresponding IVs of the orders remain close to the levels you specify. The BTC/ETH prices of these orders are updated every 3 seconds in the order book.
Limit orders based on USD price
You can place a limit order with a USD price to specify the target price level of your options contract. The BTC/ETH prices of these orders are continuously updated using the prevailing crypto index price once they're placed in the order book, such that the corresponding USD prices of the orders remain close to the level you specify. The BTC/ETH prices of these orders are updated every 3 seconds in the order book.
Currency adjustment for options trading
We have also adjusted the currency used in options trading:
- Options prices and order/position amounts are no longer displayed in the local currency you select. These fields are only displayed in crypto or USD.
- The BTC/ETH price index used as the underlying index for options contracts is no longer displayed in the local currency you select. Only the USD index of BTC/ETH is displayed.
How to place limit orders based on IV/USD price
Check the "Tracking orders" box on the limit order UI for options to place a limit order based on IV or USD price. You can still place limit orders for options using prices specified in crypto (BTC/ETH).
Risk warning: The foregoing overview and information, some of which may be provided by third parties and not OKX, are for informational and educational purposes only. OKX does not guarantee the accuracy or completeness of any information contained herein and such information does not constitute any representation, warranty nor any financial, investment or other form of advice by OKX. Such information may not be suitable for all persons; it should not be relied upon in connection with a particular investor's trading; and, is not intended to be, nor should be construed as, an offer, recommendation or solicitation. Such information is also not intended for persons who reside in jurisdictions where providing such information would violate the laws or regulations of such jurisdiction. Digital assets are highly speculative and subject to high volatility, may become illiquid at any time, and that investors may lose the entire value of their investment. Before trading any digital asset, you should do your own research and evaluate your risk appetite. OKX is not responsible for any losses which you may incur from trading digital assets. Please refer to Terms of Service and Risk & Compliance Disclosure for more information.
For any inquiries regarding this adjustment, please feel free to contact us via the OKX Telegram group or the Support Center.
OKX team
September 8, 2023