An option on a futures contract gives the owner the right to buy or sell the futures at a fixed price before an expiration date. An option that would have no value if exercised is considered to be “out of the money.” Lindstrom is accused of buying deep out-of-the-money options on U.S. Treasury futures at a discount to their minimum settlement value of about $15.63 each, making the trades seem profitable until the options expired as worthless.