> For the complete documentation index, see [llms.txt](https://docs.ithacaprotocol.io/docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.ithacaprotocol.io/docs/ithaca-app/trading/stories/bet.md).

# Bet

## Bet Overview

Place a bet on whether an asset price ends up inside or outside a defined range at expiry date.  

## Placing Bet Orders

<figure><img src="/files/6eU2H68J1XQx1zD1ofal" alt=""><figcaption></figcaption></figure>

* In the **Stories** tab, select Bet
* Enter your order parameters
  * **Type:** Select "Inside Range" or "Outside Range" bet
  * **Bet/Capital at Risk:** The amount of premium paid to enter the trade.&#x20;
  * **Range:**  Select Range
  * **Target Earn:** The limit price at the auction, it reflects how much one wants to earn for spending the premium if price at expiry ends up inside/outside the range. This amount is translated as expected APR.&#x20;
* Verity Order Summary
  * Order limit: Order price
  * Collateral requirement: The amount required to be locked so as to ensure that the order enters the auction.&#x20;
  * Platform fee: Fee to be paid in case of execution.&#x20;
  * Total premium: The total to be paid net of fees.&#x20;
* "Submit to Auction" and approve your transaction in your wallet

## Bet Contract

<table><thead><tr><th width="202">Item</th><th>Description</th></tr></thead><tbody><tr><td>Products</td><td><p>Inside Bet</p><p>Outside Bet</p></td></tr><tr><td>Payout Formula</td><td><p>Inside Bet<br>Payoff: Upper strike - lower strike</p><p>if lower strike lower &#x3C; reference price &#x3C; upper Strike , 0 otherwise</p><p><br><br>Outside Bet </p><p>- (Upper strike - lower strike)</p><p> if lower strike lower &#x3C; reference price &#x3C; upper Strike , 0 otherwise</p><p><br>Order entry: risk bet amount to earn payoff</p></td></tr><tr><td>Underlying</td><td>WETH/USDC</td></tr><tr><td>Settlement Style</td><td>Cash</td></tr><tr><td>Exercise Style</td><td>European, auto-exercised</td></tr><tr><td>Premium Currency</td><td>USDC</td></tr><tr><td>Settlement Currency</td><td>USDC</td></tr><tr><td>Strike Currency</td><td>USDC<br><br>Depending on user’s portfolio subject to collateral optimization settlement currency could be different.</td></tr><tr><td>Strike Currency</td><td>USDC</td></tr><tr><td>Collateral Currency</td><td>USDC</td></tr><tr><td>Collateral Amount</td><td><p>Inside bet: USDC premium</p><p>Outside bet ( upper strike - lower strike ) in USDC</p></td></tr><tr><td>Collateral Management</td><td>Fully collateralized, pre-funded</td></tr><tr><td>Multiplier</td><td>1</td></tr><tr><td>Strike Price</td><td>Fixed standardized published levels</td></tr><tr><td>Reference Price</td><td>ITHACA Reference Fixing</td></tr><tr><td>Expiry Time</td><td>1st focal auction on relevant expiry Friday</td></tr></tbody></table>