Cash-or-nothing options are a type of binary option where the payout is either a fixed amount of cash or nothing at all, depending on whether the underlying asset meets a specified condition at expiration. This makes them attractive for investors looking for straightforward risk management tools in foreign exchange markets, allowing them to hedge against currency fluctuations without dealing with the complexities of traditional options.
congrats on reading the definition of cash-or-nothing options. now let's actually learn it.