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What is an option?

A vanilla option contract is an agreement between two parties to facilitate a potential transaction (purchasing or selling) on some underlying asset at a preset price, referred to as the strike price, prior to the expiration date.
A call option is a right to purchase some asset, and a right to sell is a put option.
Options expire on Fridays — to make for a wonderful, stress-free (or the opposite) weekend; crypto markets, despite trading 24/7, usually respect this tradition. An option can be exercised, e.g. the right to buy/sell is literally exercised by the contract’s owner, leading to a transaction.
An option contract may be bought and sold (for a price, of course — it’s usually called an option’s premium) — with the latter meaning one is being the counterparty: if someone exercises a call option, they will get the asset while the seller will be obliged to sell it (or do a short sell — borrow it for a fee to sell; an obligation’s an obligation, after all). Vice versa for put options: one exercising the option sells the asset with put-seller being assigned; however, an option seller captures the premium on accepting the deal.