An option is an agreement between its seller and buyer, as a result of which the buyer is given the right to purchase (call option) or sell (put option) the underlying asset. The price is agreed in advance and remains unchanged throughout the entire term. American and European option models are distinguished. The American option is widely used today.

  An option is a security that gives the right, but not the obligation, to buy or sell an asset at a pre-agreed price during the term of the document. There are options to sell and to buy an asset. Despite the fact that they differ insignificantly from each other, the ways they are used are completely different.