How are GEMI collar max profit and max loss calculated?

Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium. For the GEMI collar priced from the September 30, 2026 end-of-day chain at a 30-day expiry (ATM IV 97.10%), the computed maximum profit is $31.00 per contract and the computed maximum loss is -$19.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a GEMI collar?

The breakeven for the GEMI collar priced on this page is roughly $5.19 at expiration, derived from the September 30, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The GEMI market-implied 1-standard-deviation expected move in the same options snapshot is approximately 27.84%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current GEMI implied volatility affect this collar?

GEMI ATM IV is at 97.10% with IV rank near 57.33%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.

GEMI Collar Strategy

GEMI (Gemini Space Station, Inc.), in the Financial Services sector, (Financial - Capital Markets industry), listed on NASDAQ.

Gemini Space Station, Inc. operates a cryptocurrency platform in the United States and internationally. The company offers Gemini, a platform that enables users to trade, custody, and earn in a range of digital assets and offerings; Gemini ActiveTrader for advanced charting, multiple order types, and the ability to monitor and execute in multiple markets; and Gemini Derivatives to trade perpetual contracts with cross-collateralization for risk and capital management. It also provides Gemini Prediction for trading event contracts; custody solutions; and Gemini Credit Card for users to earn crypto rewards. The company serves institutional investors, including asset managers, hedge funds, proprietary trading firms, and corporations, as well as individual retail users. Gemini Space Station, Inc. was founded in 2014 and is based in New York, New York.

GEMI (Gemini Space Station, Inc.) trades in the Financial Services sector, specifically Financial - Capital Markets, with a market capitalization of approximately $630.5M, a beta of 2.72 versus the broader market, a 52-week range of 3.385-26.75, average daily share volume of 2.1M, a public-listing history dating back to 2025, approximately 650 full-time employees. These structural characteristics shape how GEMI stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 2.72 indicates GEMI 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 collar on GEMI?

A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot.

GEMI snapshot

As of September 30, 2026, spot at $5.19, ATM IV 97.10%, IV rank 57.33%, expected move 27.84%. The collar on GEMI below is built from the September 30, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 16-day expiry.

Why this collar structure on GEMI specifically: IV regime affects collar pricing on both sides; mid-range GEMI IV at 97.10% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 27.84% (roughly $1.44 on the underlying). The 16-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated GEMI expiries trade a higher absolute premium for lower per-day decay. Position sizing on GEMI should anchor to the underlying notional of $5.19 per share and to the trader's directional view on GEMI stock.

GEMI collar setup

The GEMI collar below is built from the September 30, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With GEMI at $5.19 on that close, the first option leg uses a $5.50 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed GEMI chain at a 16-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 GEMI shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$5.19	long
Sell 1	Call	$5.50	$0.35
Buy 1	Put	$5.00	$0.35

GEMI collar risk and reward

Net Premium / Debit: -$519.00
Max Profit (per contract): $31.00
Max Loss (per contract): -$19.00
Breakeven(s): $5.19
Risk / Reward Ratio: 1.632

Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium.

GEMI collar payoff curve

Modeled P&L at expiration across a range of underlying prices for the collar on GEMI. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-99.8%	-$19.00
$1.16	-77.7%	-$19.00
$2.30	-55.6%	-$19.00
$3.45	-33.5%	-$19.00
$4.60	-11.5%	-$19.00
$5.74	+10.6%	+$31.00
$6.89	+32.7%	+$31.00
$8.04	+54.8%	+$31.00
$9.18	+76.9%	+$31.00
$10.33	+99.0%	+$31.00

When traders use collar on GEMI

Collars on GEMI hedge an existing long GEMI stock position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.

GEMI thesis for this collar

The market-implied 1-standard-deviation range for GEMI extends from approximately $3.75 on the downside to $6.63 on the upside. A GEMI collar hedges an existing long GEMI position with a protective put while financing the put cost via a short call; when the premiums roughly offset, the collar acts as a near-zero-cost insurance band around the current spot. Current GEMI IV rank near 57.33% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on GEMI should anchor more to the directional view and the expected-move geometry. As a Financial Services name, GEMI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to GEMI-specific events.

GEMI collar positions are structurally neutral (protective); 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. GEMI positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move GEMI alongside the broader basket even when GEMI-specific fundamentals are unchanged. Always rebuild the position from current GEMI chain quotes before placing a trade.

Frequently asked questions

What is a collar on GEMI?: A collar on GEMI is the collar strategy applied to GEMI (stock). The strategy is structurally neutral (protective): A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot. With GEMI stock at $5.19 on the September 30, 2026 close, the strikes shown on this page are snapped to the nearest listed GEMI chain strike and the premiums come straight from that session's bid/ask midpoint.
How are GEMI collar max profit and max loss calculated?: Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium. For the GEMI collar priced from the September 30, 2026 end-of-day chain at a 30-day expiry (ATM IV 97.10%), the computed maximum profit is $31.00 per contract and the computed maximum loss is -$19.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a GEMI collar?: The breakeven for the GEMI collar priced on this page is roughly $5.19 at expiration, derived from the September 30, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The GEMI market-implied 1-standard-deviation expected move in the same options snapshot is approximately 27.84%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a collar on GEMI?: Collars on GEMI hedge an existing long GEMI stock position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.
How does current GEMI implied volatility affect this collar?: GEMI ATM IV is at 97.10% with IV rank near 57.33%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.