Problemic issues of legal regulation of the circulation of some types of options in Ukraine

Abstract

Problem setting. In Ukraine, the use of options is increasingly frequent. Options attract both employee and employer, since it allows the employee to take part in the management of the company, and for the employer makes employees more motivated. A lot of IT-companies including EPAM, Ajax, Vimeo and others, have already used options. Nevertheless, legal regulation of options has many gaps.

Target research. The main goal of this research is to define the concept of an option, its characteristics and types. To analyze the legal regulation and actual development of options in Ukraine. It also includes identification of problems of legal regulation of the circulation of some types of options in Ukraine.

Analysis of recent researches and publications. Options and their market was the object of research of a large number of scientists, among which, Adamenko M. V., Voronchenko O. V., Kashubina Yu. V., Kolosovsky D. V., Pidvysotsky Ya. V., Shulga N. P. and others whose doctrinal developments provide an important theoretical basis for studying the nature and essence of options and its role between other securities.

Article’s main body. The definition of an option was identified in the article. It was determined, that an option is a type of secuirities that entitles one party to purchase (sell) a certain asset during the option’s period or at a specific date, and the other party to sell (buy) the asset. It was researched that there are such types of options like put- and call- options, american and european options.

Legal regulation and practical using of options in IT-sphere were analysed. The next problems in option using was discovered: high asset value, short terms, difficulty in buying securities and receiving dividends, difficulty in understanding how to use options and others.

Conclusions and prospects of development. Legal regulation of options has many gaps and problematic issues that are related to the difficulty of understanding the mechanism of the option, the lack of guarantees, the impossibility of buying an asset, which makes the option ineffective.

In this way, there is a need to improve the legal regulation of options circulation, including in matters of vesting, which would ensure guarantees of the rights of option owners and its effectiveness as a tool for attracting investment and increasing the motivation of employees.