Fully Collateralized Call Spread Contract #1829
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Chris-Hibbert
added a commit
that referenced
this issue
Oct 9, 2020
Implementation of a fully collateralized call spread option, following Joe
Clark's description. This is a combination of a bought call option and a sold
call option at a higher strike price. The contracts are sold in pairs, and the
buyers of the two positions together invest the entire amount that will be
paid out.
This option is settled financially. Neither party is expected to have
ownership of the underlying asset at the start, and neither expects to take
delivery at closing.
zoe.startInstance() takes an issuerKeywordRecord that specifies the issuers
for the keywords Underlying, Strike, and Collateral. The payout uses
Collateral. The price oracle quotes the value of the Underlying in the same
units as the Strike prices.
creatorFacet has a method makeInvitationPair(), that takes terms
that specifies { expiration, underlyingAmount, priceAuthority, strikePrice1,
strikePrice2, settlementAmount, buyPercent }.
ownerFacet.makeInvitationPair() returns two invitations, which can be sold
separately. They settle when the priceAuthority announces the settlement amout
as of it's pre-programmed closing time.
closes: #1829
Chris-Hibbert
added a commit
that referenced
this issue
Oct 9, 2020
Implementation of a fully collateralized call spread option, following Joe
Clark's description. This is a combination of a bought call option and a sold
call option at a higher strike price. The contracts are sold in pairs, and the
buyers of the two positions together invest the entire amount that will be
paid out.
This option is settled financially. Neither party is expected to have
ownership of the underlying asset at the start, and neither expects to take
delivery at closing.
zoe.startInstance() takes an issuerKeywordRecord that specifies the issuers
for the keywords Underlying, Strike, and Collateral. The payout uses
Collateral. The price oracle quotes the value of the Underlying in the same
units as the Strike prices.
creatorFacet has a method makeInvitationPair(), that takes terms
that specifies { expiration, underlyingAmount, priceAuthority, strikePrice1,
strikePrice2, settlementAmount, buyPercent }.
ownerFacet.makeInvitationPair() returns two invitations, which can be sold
separately. They settle when the priceAuthority announces the settlement amout
as of it's pre-programmed closing time.
closes: #1829
Chris-Hibbert
added a commit
that referenced
this issue
Oct 24, 2020
Implementation of a fully collateralized call spread option, following Joe
Clark's description. This is a combination of a bought call option and a sold
call option at a higher strike price. The contracts are sold in pairs, and the
buyers of the two positions together invest the entire amount that will be
paid out.
This option is settled financially. Neither party is expected to have
ownership of the underlying asset at the start, and neither expects to take
delivery at closing.
zoe.startInstance() takes an issuerKeywordRecord that specifies the issuers
for the keywords Underlying, Strike, and Collateral. The payout uses
Collateral. The price oracle quotes the value of the Underlying in the same
units as the Strike prices.
creatorFacet has a method makeInvitationPair(), that takes terms
that specifies { expiration, underlyingAmount, priceAuthority, strikePrice1,
strikePrice2, settlementAmount, buyPercent }.
ownerFacet.makeInvitationPair() returns two invitations, which can be sold
separately. They settle when the priceAuthority announces the settlement amout
as of it's pre-programmed closing time.
closes: #1829
Chris-Hibbert
added a commit
that referenced
this issue
Oct 26, 2020
Implementation of a fully collateralized call spread option, following Joe
Clark's description. This is a combination of a bought call option and a sold
call option at a higher strike price. The contracts are sold in pairs, and the
buyers of the two positions together invest the entire amount that will be
paid out.
This option is settled financially. Neither party is expected to have
ownership of the underlying asset at the start, and neither expects to take
delivery at closing.
zoe.startInstance() takes an issuerKeywordRecord that specifies the issuers
for the keywords Underlying, Strike, and Collateral. The payout uses
Collateral. The price oracle quotes the value of the Underlying in the same
units as the Strike prices.
creatorFacet has a method makeInvitationPair(), that takes terms
that specifies { expiration, underlyingAmount, priceAuthority, strikePrice1,
strikePrice2, settlementAmount, buyPercent }.
ownerFacet.makeInvitationPair() returns two invitations, which can be sold
separately. They settle when the priceAuthority announces the settlement amout
as of it's pre-programmed closing time.
closes: #1829
Chris-Hibbert
added a commit
that referenced
this issue
Oct 26, 2020
Implementation of a fully collateralized call spread option, following Joe
Clark's description. This is a combination of a bought call option and a sold
call option at a higher strike price. The contracts are sold in pairs, and the
buyers of the two positions together invest the entire amount that will be
paid out.
This option is settled financially. Neither party is expected to have
ownership of the underlying asset at the start, and neither expects to take
delivery at closing.
zoe.startInstance() takes an issuerKeywordRecord that specifies the issuers
for the keywords Underlying, Strike, and Collateral. The payout uses
Collateral. The price oracle quotes the value of the Underlying in the same
units as the Strike prices.
creatorFacet has a method makeInvitationPair(), that takes terms
that specifies { expiration, underlyingAmount, priceAuthority, strikePrice1,
strikePrice2, settlementAmount, buyPercent }.
ownerFacet.makeInvitationPair() returns two invitations, which can be sold
separately. They settle when the priceAuthority announces the settlement amout
as of it's pre-programmed closing time.
closes: #1829
Chris-Hibbert
added a commit
that referenced
this issue
Oct 29, 2020
* feat: a call spread option contract and tests.
Implementation of a fully collateralized call spread option, following Joe
Clark's description. This is a combination of a bought call option and a sold
call option at a higher strike price. The contracts are sold in pairs, and the
buyers of the two positions together invest the entire amount that will be
paid out.
This option is settled financially. Neither party is expected to have
ownership of the underlying asset at the start, and neither expects to take
delivery at closing.
zoe.startInstance() takes an issuerKeywordRecord that specifies the issuers
for the keywords Underlying, Strike, and Collateral. The payout uses
Collateral. The price oracle quotes the value of the Underlying in the same
units as the Strike prices.
creatorFacet has a method makeInvitationPair(), that takes terms
that specifies { expiration, underlyingAmount, priceAuthority, strikePrice1,
strikePrice2, settlementAmount, buyPercent }.
ownerFacet.makeInvitationPair() returns two invitations, which can be sold
separately. They settle when the priceAuthority announces the settlement amout
as of it's pre-programmed closing time.
closes: #1829
* fix: integrate call spread contract with Oracle API. (#1928)
* chore: cleanups from review
This includes changes from the base PR and the separate PR for the
updates to the oracle API.
* chore: more review clean-ups
extract calculation for testing purposes.
save the invitationIssuer as an issuer in the contract
exit contract when done.
use trade() rathern than reallocate()
some renaming
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A fully collateralized call spread contract with no actual escrowing of the underlying assets (financial settlement only).
Terms (Parameters):
expiryDate,
underlyingAssets (amount) (issuer Y)
priceAuthority,
strikePrice1 (issuer X)
strikePrice2 (issuer X)
settlementValue (issuer Z)
@Chris-Hibbert feel free to change the text of this issue.
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