Options Maturity

Definition ∞ Options maturity refers to the specific date on which an options contract expires, after which it can no longer be exercised. This date is a critical determinant of an option’s value and trading activity. As an option approaches maturity, its time value diminishes, influencing hedging strategies and speculative positions. It marks the end of the contract’s life.
Context ∞ Options maturity is a key consideration for traders and investors in the digital asset derivatives market, impacting volatility and trading volumes. Discussions often focus on the impact of large options expiry events on underlying spot prices and market sentiment. Future market structures may introduce more varied maturity cycles to accommodate diverse trading strategies.