Bottom line: Deep out-of-the-money (OTM) options get the biggest discount, because the system directly treats their collateral value as zero.
When you use multiple assets as collateral for options, you cannot just look at whether the asset has a positive book value. The more unstable the asset, the more likely the system will apply a blunt discount or even exclude it from collateral value altogether.
Which assets are most likely to be discounted? A ranking
According to OKX Portfolio Margin (PM) mode official risk control rules, the collateral discount logic is mainly based on liquidity and risk exposure. From most to least discounted, the tiers are roughly as follows:
- Top of the list: Deep out-of-the-money (OTM) options. These are the most heavily discounted assets, with a collateral value factor of 0%. The system views them as almost impossible to become in the money, so their collateral value is zero and they cannot increase your transferable margin.
- Second tier: Options with an absolute Black-Scholes (BS) Delta below 0.4. These options, such as slightly OTM options, have their value multiplied by a delta-based discount factor. The further away from in-the-money, the larger the discount.
- Third tier: Regular long option positions. Even relatively safe in-the-money options have their value multiplied by a fixed liquidity discount factor in the PM account. OKX currently uses 0.8, meaning a 20% discount.
- Fourth tier: Illiquid altcoins and yield-bearing assets. Kraken, Deribit, and other platforms clearly apply different discount rates to different coins. Even for a mainstream yield-bearing asset like stETH, Deribit cut its collateral value factor from 15% to 7.5% in January 2026, showing that platforms regularly review and may tighten valuations. Bybit's official guide also notes that when the collateral ratio is set at 25%, only 25% of that asset's value can be counted as collateral.
Discounts are not applied to everything—at least two types of assets are relatively safe
- Stablecoins: USDT and USDC have prices anchored to the dollar and very low volatility, so they get the highest collateral ratio, basically close to 100%.
- Short positions used as hedges: In portfolio margin mode, if you hold positions that effectively hedge risk, the value of those options may be counted as collateral to support a larger transferable margin.
Why are deep OTM options valued at zero?
The platform's risk control logic asks: "Can this asset protect me in extreme market conditions?"
- A BTC call option with a strike price of $30,000 offers almost no protection when BTC is trading at $25,000 and the market crashes. Its liquidity is also poor.
- Therefore, when calculating total account collateral value, the system directly assigns that option a value of 0, even if it still has some time value left.
How to check
Before trading options, go to your account's margin or collateral details page and check the current collateral ratio or discount rate for each asset. If an asset's discount rate shows 0%, its value will not be counted toward available margin.
