Ann: Stargroup and DigitalX sign JV to develop Bitcoin ATMs, page-64

Correct . 5c strike - so not yet in the money

Hence they trade on a sentiment while out of the money. Fundamentally worth zero . But the potential movement of heads into the money makes them worth speculation value .

As Bullish example

TV2O / TV2. Trade at 1-2 ratio out of the money . 4c strike - so market views good leverage as is speculation high likely to exceed strike and better with 2x as many ops than heads

How many more STLO multiple do you want over the heads ?

In my example if STL gets to say 10c
Then shares rise over today's highs by 3x

But options would rise to (heads - strike )
(10c - 5c strike ) = 5c

= 12.5 x over today's high of 0.4

If you invest same dollars - do you want in speculative example - 3x or 12.5 x return ?

Can speculate all day long on what price the heads get to - but the higher quantity of options usually makes them more lucrative when the strike gets surpassed by multiples .

But with options comes risk of expirey.
So it's all gambling - and leverage .
With time left to expirey they are priced out of the money with that risk weighted view to success case .