Leaving a position

One way out: close at the market#

These options never expire, so leaving is a close at today's market price, at your leg's own strike and duration — not a function of what you paid. An in-the-money option always pays its intrinsic in full; only the time value is at the market's view.

What price you get, and who pays it#

You sell at the best closing price among the makers (or buy back at the best ask). Your position then goes back to the maker who wrote it — its writer of record — and that maker pays or receives that best price itself, whether or not it is still quoting. The maker with the best quote only sets the price. So every close lowers open interest.

Fallbacks, in order: if no maker quotes at all, the writer takes the position back at the oracle venue's price (never below intrinsic); if the writer cannot pay, it is liquidated, its side moves to the best-quoting makers, and your close settles against the new maker at the same best price. Your size never changes in the process.

The close price can be a little worse than your mark (the oracle venue's bid for a bought option, ask for a sold one): the mark values your position; the close is what a maker pays. The close screen shows both.

A taker fee applies to each close (Fees & liquidation).

Holding a position: the roll and notional decay#

You never need to trade to hold. Holding costs settle continuously between you and the writer: the roll is a buy of lost time, priced at the oracle venue's ask; the venue keeps 10 %. A close first settles what is owed.

In an Options account with no cash left, each bought option goes into notional decay: it sells back just enough of itself to pay its own holding cost, at the best closing price (bid side), with no fee; a leg left worth under $1 closes. Anyone (normally the venue's keeper) can trigger notional decay once it is due. Protect positions have no notional decay: they close whole at maintenance.

The close verbs#

• Close — one position (a perp, one Protect position, one option, one maker line).
• Close account — every position in one account; the account ends. On a Protect account the perp and the swap are one structure, so Close account is the only close.

closeLegAtFront(account, legIndex, qty) closes all or part of one option leg; closeAccountAtFront(account) is Close account. A perp on the account is closed on HyperCore by the keeper within a minute or two.

curl -s "https://protect.temporal.exchange/api/venue/chain/state?wallet=0xYOUR_WALLET"

Kept in lockstep with the code: a check fails if this page drifts.