BTBT Cash-Secured Put Strategy
BTBT (Bit Digital, Inc.), in the Financial Services sector, (Financial - Capital Markets industry), listed on NASDAQ.
Bit Digital, Inc., together with its subsidiaries, engages in the bitcoin mining business. It is also involved in the treasury management activities. The company was formerly known as Golden Bull Limited and changed its name to Bit Digital, Inc. in September 2020. Bit Digital, Inc. was incorporated in 2017 and is headquartered in New York, New York.
BTBT (Bit Digital, Inc.) trades in the Financial Services sector, specifically Financial - Capital Markets, with a market capitalization of approximately $663.0M, a beta of 3.96 versus the broader market, a 52-week range of 1.25-4.55, average daily share volume of 20.5M, a public-listing history dating back to 2018, approximately 54 full-time employees. These structural characteristics shape how BTBT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 3.96 indicates BTBT has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a cash-secured put on BTBT?
A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.
Current BTBT snapshot
As of May 15, 2026, spot at $1.81, ATM IV 110.09%, IV rank 21.00%, expected move 31.56%. The cash-secured put on BTBT below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 28-day expiry.
Why this cash-secured put structure on BTBT specifically: BTBT IV at 110.09% is on the cheap side of its 1-year range, which means a premium-selling BTBT cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 31.56% (roughly $0.57 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated BTBT expiries trade a higher absolute premium for lower per-day decay. Position sizing on BTBT should anchor to the underlying notional of $1.81 per share and to the trader's directional view on BTBT stock.
BTBT cash-secured put setup
The BTBT cash-secured put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With BTBT near $1.81, the first option leg uses a $1.72 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed BTBT chain at a 28-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 BTBT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $1.72 | N/A |
BTBT cash-secured put risk and reward
- Net Premium / Debit
- N/A
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- Unbounded
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- N/A
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
BTBT cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on BTBT. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.
When traders use cash-secured put on BTBT
Cash-secured puts on BTBT earn premium while a trader waits to acquire BTBT stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning BTBT.
BTBT thesis for this cash-secured put
The market-implied 1-standard-deviation range for BTBT extends from approximately $1.24 on the downside to $2.38 on the upside. A BTBT cash-secured put lets a trader earn premium while waiting to acquire BTBT at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current BTBT IV rank near 21.00% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on BTBT at 110.09%. As a Financial Services name, BTBT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to BTBT-specific events.
BTBT cash-secured put positions are structurally neutral to slightly bullish; the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. BTBT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move BTBT alongside the broader basket even when BTBT-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on BTBT carry tail risk when realized volatility exceeds the implied move; review historical BTBT earnings reactions and macro stress periods before sizing. Always rebuild the position from current BTBT chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on BTBT?
- A cash-secured put on BTBT is the cash-secured put strategy applied to BTBT (stock). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With BTBT stock trading near $1.81, the strikes shown on this page are snapped to the nearest listed BTBT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are BTBT cash-secured put max profit and max loss calculated?
- Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the BTBT cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 110.09%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a BTBT cash-secured put?
- The breakeven for the BTBT cash-secured put priced on this page is no defined breakeven on the modeled curve at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current BTBT market-implied 1-standard-deviation expected move is approximately 31.56%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a cash-secured put on BTBT?
- Cash-secured puts on BTBT earn premium while a trader waits to acquire BTBT stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning BTBT.
- How does current BTBT implied volatility affect this cash-secured put?
- BTBT ATM IV is at 110.09% with IV rank near 21.00%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.