What happens at expiration depends on whether you bought or sold the contract.

If you bought the contract

There are only four possible endings:

• Ends out of the money (OTM): the contract expires worthless and you only lose the premium.
• Ends in the money (ITM) with enough balance: it is exercised automatically and you receive 100 shares per contract.
• Ends ITM without enough balance: it is settled for you. The contract is sold and you receive the value in cash, not shares.
• Ends ITM but you asked not to exercise (DNE): it expires on purpose, with no share purchase.

If you sold the contract

If the buyer of your contract exercises their right, you get assigned: you deliver the shares if you sold a covered call, or the cash if you sold a cash-secured put. You cannot choose when this happens, and you find out after it occurs.

What if you do nothing?

A contract you bought that ends in the money is auto-settled by default: it is sold for you and you receive the value in cash. Bitso notifies you 7 days and 1 day before expiration, and marks the position as "expiring soon" starting 3 days out, so you have time to decide.

Settlement timing

You see the trade immediately, but the actual movement of cash or shares takes two business days. This is called T+2 settlement.