Call Option
A contract granting the right to buy an asset at a fixed price by expiration.
What is Call Option?
A call option allows the buyer to purchase the underlying asset at the strike price before expiry, profiting from price rises. Embedded in Strategy’s converts, they provide upside, with deltas affecting hedge needs.
Related Terms
Resistance
A price level with substantial selling interest that blocks upward advances.
Market Manipulation (Prediction Market)
The act of intentionally distorting a prediction market’s prices to influence outcomes or perceptions.
Matching Engine
The algorithm that pairs buy and sell orders in exchanges based on rules like price-time priority.
Liquidation (Perp Dex)
The forced closure of a leveraged position when margin falls below the required level.
Liquidity Fragmentation
The dispersion of liquidity across multiple pools, chains, or exchanges, leading to inefficient pricing and higher costs.
Primary Dealers
Designated financial institutions authorized to trade directly with the Federal Reserve Bank of New York in government securities, numbering 24 as of 2025.