SigmaO

SigmaO is a decentralized options trading platform that brings derivatives markets to the Ergo blockchain. The protocol supports both Call and Put options with American and European exercise styles, enabling sophisticated hedging and speculation strategies for Ergo-native tokens.

Options are represented as EIP-4 tokens, making them tradeable on any Ergo marketplace. The order book model allows option writers to set their own premiums and strike prices, while buyers can select contracts that match their market views. Smart contracts handle option exercise automatically at expiration or when exercised early (for American options).

SigmaO demonstrates how complex financial derivatives can be implemented on the eUTXO model. Each option contract encodes its parameters (underlying asset, strike price, expiration, option type) directly in the token, creating self-describing financial instruments. This brings institutional-grade trading tools to the decentralized ecosystem.