Put ratio spread (1×2)
Neutral / rangeLimited profitLimited loss
Buy 1 put, sell 2 lower: profit peak at the short strike, risk below.
Payoff at expiry — live BTC example
Net debit
$207.47
Max profit
$992.53
Max loss
$63,607
Breakevens
63,607 / 65,593
Example legs (0.7 DTE front)
- Buy 65,800 put
- Sell 2× 64,600 put
Entry greeks (per 1 BTC notional): Δ -0.326 · Γ 0.1620 per 1% · vega $4.41/pt · theta $-61.91/day
How it works
Mirror of the call ratio: cheap or free entry, peak at the lower strike, open risk below it.
When to use it
"Down, but not a crash" — drift to support without a break.
Risks & management
Crashes are exactly when the naked lower put activates; in crypto that tail is fat. Respect the S→0 max-loss number.
Related structures
Example built from live Delta Exchange BTC marks on the nearest constructible expiry; numbers refresh with the chain. Educational content, not investment advice.