On October 10, 2023, Cipher Mining Inc (CIFR) introduced new options contracts with a March 2026 expiration date. A notable put contract at a $6.00 strike price is currently bidding 4 cents, allowing investors to potentially acquire shares at a cost basis of $5.96 if they sell this option. The contract is approximately 7% below CIFR’s current trading price of $6.42, with a 71% chance of expiring worthless.
Meanwhile, on the call side, a $7.00 strike price contract is bidding 12 cents. If investors purchase CIFR shares at $6.42 and sell this call, they could achieve a total return of 10.90% if the contract is exercised by March 2026. This contract’s odds of expiring worthless are currently estimated at 36%, providing a potential YieldBoost of 1.87% to investors who keep their shares.
Implied volatilities for the put and call contracts are 116% and 112%, respectively, while the actual trailing twelve-month volatility is calculated at 110%.
