What exactly is the difference between market-making trading and just proprietary trading in options, especially concerning off-floor trading via just the screen. Obviously the market-making firms are offering a bid price to buy the option and an ask price to sell the option. How is this significantly different from a firm that is not a market-maker? They simply sell at the bid price and buy at the ask price. However, for trading options, are they really doing anything significantly different from each other? Wouldn't both firms be doing the same things to limit risks and be using the same information and research to make decisions? Can anyone explain the differences for off-floor electronic traders?