On one side of a spectrum of financial instruments, exists a class of financial options known to be “Exotic” and on the other end of the spectrum you have the Digital options – simple and yet powerful.  Exotic options are traded by High Net Worth OTC traders and are fully backed by banks and financial institutions. These are known to be steeply priced, complex and illiquid. It is for these reasons you would find that the Exotic options are hardly used by retail traders. Even though they are an absolute contrast to the Exotic options, Digital Options yet find a place for themselves in the exotic group because of their strikingly unusual nature. In the Digital Option Trade, you are either rewarded with a fixed amount or nothing at all.