A put option (put) whose payoff is determined as a fixed amount of a particular monetary or financial asset (if the underlying price is above the option’s strike price, taking into account the amount of premium (put premium) paid by the call holder) or nothing otherwise.

The put option pays either the fixed amount or zero at the preset maturity date, depending on the level or performance of the underlying asset or rate.

This option takes many forms including one touch digital put option, cash or nothing digital put option, and asset or nothing digital put option.