After an option's expiration, the option must be burned before claiming the proceeds from the auction or writing another option on the NFT.
Users can burn an option by heading to the portfolio tab, selecting the Expired view in options, and then clicking on an option. Once there they can click 'Burn Expired Option NFT' to complete the process and claim/distribute proceeds if they're available.
While anyone can burn an option once it is expired, it will likely be done by one of two users.
- The option writer
If the option has expired out of the money, the option writer will likely burn the option, so that they can write another option. Another option won't be able to be minted on that specific NFT until the option is burned.
- The option holder
If the option expired in the money, the option holder will likely burn the option so they can claim the proceeds from the settlement auction.
Updated 9 months ago