Those options indeed offer unparalleled leverage. I don't have much knowledge re: options, I guess most traders will buy and sell them as opposed to exercise them?
I know you are interested in US options.. somehow related ...I did think about scouring through the ASX for options trading at 0.1c, then narrow it down to stocks within the popular thematic (lithium/uranium etc), look at the fundamentals. Then I find it too much hassle until I get the initiative to do so it's on the backburner now.
