Selling options on futures is an income collection strategy in which traders sell commodity options for a premium paid by the buyer of the option.  The buyer is purchasing the right to buy or sell the underlying futures contract at a specified price and time.  The seller of the option is accepting the premium paid in return for delivering the long or short futures position should the buyer, or exchange, opt to exercise the option.  Option selling involves a limited reward with unlimited risk scenario, but most believe it offers better odds of success on a trade-by-trade basis.