Lately, when I look at the options market, I can’t help but feel a bit of a thought: this thing called time value—plainly put—is just “deducting fees” every day. The buyer holds the ticket, waiting for that moment when the price action finally explodes; but before it explodes, Theta (time decay) keeps chewing on you. The seller finds it a little more comfortable, like collecting rent—just don’t forget that the tail end can genuinely flip someone over, especially when correlation suddenly turns weird. For example, when rate-cut expectations hit and the U.S. Dollar Index and risk assets go up and down together—when the logic gets tangled. When volatility expands, sellers also have a hard time sleeping.

Who exactly is time value eating?
It’s those who “never got to that moment.”

I’m pretty particular about it: the buyer should treat it like paying an insurance premium, knowing exactly how much they can lose at most. The seller should either keep the position small or lock in the risk boundary (don’t go naked selling everything). Otherwise, one needle-prick can leave the earlier premium you collected completely not enough to spit back out. Anyway, don’t treat time like a friend—it takes no side.