Out-of-the-Money (OTM)
An "Out-of-the-Money" (OTM) option refers to a financial derivative whose strike price is less favorable compared to the current market price of the underlying asset. For call options, this means the strike price is higher than the market price; for put options, it's lower. OTM options do not have intrinsic value, only time value. Understanding...
Over-the-Counter (OTC) Futures
Over-the-Counter (OTC) Futures are financial contracts traded directly between two parties without the intermediation of an exchange. These agreements, which can be customized to suit the specific needs of the counterparties, involve the future sale of assets like commodities, securities, or currencies at a predetermined price on a specified date. Understanding OTC Futures Unlike standard...
Overbought
Overbought refers to a condition in financial markets where an asset is believed to be trading at a level above its intrinsic or true value, often due to excessive buying. This situation is typically identified through technical indicators such as the Relative Strength Index (RSI), which measures the speed and change of price movements on...
Oversold
Oversold refers to a condition in financial markets where an asset's price has fallen to a level below its intrinsic or true value, often due to excessive selling. This situation is typically identified through technical indicators, such as the Relative Strength Index (RSI) falling below 30, suggesting that the asset may be undervalued and potentially...
Overtrading
Overtrading refers to a situation where a company or an individual engages in excessive trading, buying, and selling assets more frequently than their financial stability or market conditions can sustainably support. This practice often leads to increased transaction costs and can potentially jeopardize financial health due to insufficient capital to cover potential losses or operational...
Ownership
Ownership refers to the legal right to possess, use, manage, and dispose of property or assets. This concept is foundational in both personal and business contexts, as it determines who controls resources and reaps the benefits from their use. Ownership in Business and Market Dynamics In the business world, ownership is not just about possessing...
P2P App
The Peer-to-Peer, popularly known as P2P app, is a decentralized form of purchase and sale of services or products between two parties "Peers" that is conducted through an app-based platform. P2P purchases and its exponential growth are being observed in marketplaces especially in the financial tech and cryptocurrency sectors. It's also being embraced in fields...
P2P Cycle
P2P Cycle, also known as the purchase-to-pay or procure-to-pay cycle, is a process that starts with identifying required goods and culminates in the eventual payment for these goods. Recent studies in supply chain management show a paradigm shift towards digitization, making the P2P cycle heavily reliant on technological advancements. For example, a 2019 PayStream Advisors...
P2P File Transfer
P2P File Transfer, also known as Peer-to-Peer File Transfer, is an innovative way people can share documents, videos, music, and all other sorts of information directly among computers without need for a central server. Over the past decade, the number of internet users using P2P File Transfer systems has grown remarkably. According to Datareportal's Digital...
P2P Finance
The term Pass-to-Peer (P2P) finance refers to financial activities conducted directly between individuals or parties without the need for a conventional financial intermediary like a bank. P2P finance leverages technology-to-automate processes, reduce cost, and increase efficiency. Background and Evolution of P2P Finance P2P finance started in 2005 with the establishment of Zopa, a company in...
Explore the MEXC Blog Glossary Archive to deepen your understanding of cryptocurrency and blockchain technology. This comprehensive resource features clear, easy-to-understand definitions of key crypto-related terms, concepts, and industry jargon. Whether you’re a beginner or an experienced trader, the glossary helps you stay informed, make smarter investment decisions, and navigate the fast-evolving crypto landscape with confidence. Start learning today and boost your crypto knowledge with MEXC!
