Well shit... I wouldn't dare attempt something like this. I've seen first hand what often happens as soon as talk gets out that a public company is thinking on adding Bitcoin onto the balance sheets. That said, I will assume you know more about MSFT than I do... so I'll STFU and wish you the best sir.
Lots of acronyms and unintelligible sentences in this thread.... but where are the trades and profits? A 12th grader could read a book on options and the associated strategies if they were so inclined to play them...there are only so many combinations of strategies one can play on a stock or an index given the mathematics in front of them. Despite what seems to be the accepted mantra here at ET.... it's not even close to being hard to understand if one has a passion for it and wants to spend a day or two on Investopedia. And they passed 8th grade math. And that is exactly what it comes down to. All the acronyms in the world, are nothing more than bullshit. Bottom line... Without the gift of intuition regarding what the market will do next, all of these so called "safe" strategies are mere rake for the ones running the table. Without market/stock intuition, this game thrives on taking money from the "Joe-I'm an advanced" option trader. Ain't that right Beck? Post us a ledger
Long NDX risk reversal against MSFT. Net short delta. NDX RR at edge (P/C>1). I can't imagine MSFT adding crypto to their balance sheet. They don't mention anything outside of strategic buys. Nothing treasury-related. You're long vol in index and short SN vol at edge (SN/index vol >1). The edge is vol is expressed as delta. PNL distro above x (arb less correlation risk).
Here's a CAVA long against index. Sure, there is corr-risk, but it's massively short index delt. No fuckery/vol-shift. I'll trade it as a basket of SN and hedge with SPX, but someone in my group wanted to hedge a largely tech-basket with cubes (free comms).
I was tempted to trade CAVA but it’s not beta to anything. It’s ok as a small add to a hedged basket. LVLD and short RR. SPX.